Denied VAT deduction for sponsorship may be incorrect

A new ruling from the European Court of Justice allows a VAT deduction for sponsorship – even though the cost is higher than the advertising value. This may mean that companies that have been denied a VAT deduction have VAT money to be recovered.

Source Simployer

See also ECJ C-334/20 (Amper Metal Kft.) – Judgment – Excessive advertising costs allow for Input VAT deduction