- The Szegedi Törvényszék in Hungary has requested a preliminary ruling from the European Union (EU) regarding the practice of VAT refunds to foreign travellers.
- The case, Határ Diszkont Kft. v Nemzeti Adó és Vámhivatal Fellebbviteli Igazgatósága, questions whether the administration of VAT refunds is a separate supply of services distinct from the tax-exempt supply of goods.
- The court also asks whether the fee charged for administering refunds of VAT arising on the supply of goods to foreign travellers is exempt from VAT as a “transaction concerning payments or debts”.
- The case also questions whether the practice of a Member State is compliant with the principle of the protection of legitimate expectations as one of the fundamental principles of the common VAT system.
- Finally, the court asks whether the practice of a Member State tax authority is compliant with Articles 73 and 78 of the VAT Directive.
Source: eur-lex.europa.eu
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
