Judgment of the FG Mecklenburg-Vorpommern of September 22, 2021 ( 3 K 227/19 rkr. ), which has become final, shows the sometimes fatal interaction of income tax law and VAT. Even if services are performed with a certain degree of sustainability and almost as part of an economic business operation, it can happen that on the one hand the deduction of business expenses and the input tax deduction are lost, but on the other hand the services provided are still subject to VAT.
Source: nwb-experten-blog.de
