The Court of Justice of the EU (CJEU) has recently clarified in its important decision in VAT case B (C-696/20)) the applicability of VAT in chain transactions. This case shows that the tax authorities can have extremely rigid approach to the chain transactions and the taxpayers need to carefully consider VAT consequences of their cross-border (chain) transactions in the EU. The good news is that the CJEU decided that if the intra-EU sale is not exempt from VAT because the seller did not meet all conditions, then the taxpayer should not face double taxation on this transaction.
Source Grant Thornton
Join the Linkedin Group on ECJ VAT Cases, click HERE
Latest Posts in "European Union"
- ECJ VAT C-409/24, C-410-24, C-411/24 – AG Opinion – VAT Treatment of Ancillary Services: Separate Standard Rate Taxation Allowed
- EU Publishes VAT Digital Age Implementation Strategy for Businesses and Member States
- Luxembourg VAT on Directors’ Fees: Impact of CJEU C-288/22 Ruling and District Court Decision
- Arcomet Case: CJEU Rules Transfer Pricing Adjustments Can Trigger VAT Obligations
- VAT Treatment of Transfer Pricing Adjustments: ECJ Ruling on Arcomet Towercranes