- The Zeeland-West-Brabant District Court ruled that the zero rate does not apply to the delivery of the horse. X, who trains, cares for, and trades horses, sold a horse in 2016 without including sales tax on the invoice.
- The buyer’s son rode the horse in 11 competitions within Europe that year.
- The inspector determined that X delivered the horse in the Netherlands and imposed an additional assessment and fine. X appealed the decision.
- The court ruled that the zero rate does not apply because the horse was only exported to the United States after delivery.
- The court also dismissed the argument that the competitions were held to maintain the horse’s condition before export as implausible. The default penalty was deemed justified. X’s appeal was unsuccessful.
Source Taxlive
Join our Linkedin Group on ”VAT Rates – Legislative changes”, click HERE
Latest Posts in "Netherlands"
- Negative Annual Balance Dispute in VAT Margin Scheme for Youngtimer Cars and Watches
- €10,000 Fine for Late and Incorrect VAT Returns
- Interim use of horse does not preclude the application of zero rate for export
- Limburg Worries About Higher VAT on Flowers and Plants
- Tax Fraud Conviction for VAT Filing Offenses
