In whose name, account and risk invoices are issued determines who must declare the VAT

Unofficial translation

Revenue from invoices in the records of the interested party should not, according to the Arnhem-Leeuwarden Court, be attributed to the interested party, even if the records contain serious errors. The invoices are issued in the name, at the expense and risk of a sister company.

The interested party has included a balance sheet debt turnover tax in the 2011 annual report. An additional VAT assessment follows. Some of the invoices in the interested party’s records are in the name of C, the trade name of B bv, a sister company of the interested party, while they are included in the continuous invoice numbering of the interested party.

The Arnhem-Leeuwarden Court of Appeal, on the basis of the judgment of the CJEU XT ( VN 2020 / 45.16), attributes the invoices in C’s administration to the legal entity that issued the invoices, B, for example. To determine who is considered a taxpayer, interest of who in the course of trade acts in his own name, for his own account and under his own responsibility and whether he runs the economic risk. Despite the fact that the records contain serious errors, which are attributed to the interested party, the Court of Appeal does not doubt the declaration of the interested party. This statement is also in line with the findings in the due diligence.





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