The Court of Appeal in The Hague ruled that X bv failed to prove that it was still engaged in business activities after 2012 and that there was an agreement between X bv and the Tax and Customs Administration. The Supreme Court dismissed the appeal as unfounded without further explanation. X bv was established in 1999 and started legal proceedings against B in 2003 to obtain A’s share of profits. Since 2012, X bv has not declared turnover in VAT returns and only claims deduction of VAT on legal costs. The Court rejected X bv’s claim against B and its reliance on the principles of protection of legitimate expectations, diligence, and proportionality. The Supreme Court declared the appeal unfounded without further explanation.
Source Taxlive
