The European Court of Justice (ECJ) has concluded that the simplification rule for intra-Community triangular transactions is not applicable if the intermediary operator, in his invoice to the customer, does not explicitly make a reference to the reverse charge procedure in order to designate the recipient as liable for payment of VAT. The ruling also states that this deficiency cannot be corrected retroactively. This may have significant consequences for intermediary operators in intra-Community triangular transactions — particularly if the VAT cannot be subsequently claimed from the customer.
Source PwC
See also
