BV X’s VAT Entrepreneurship Dispute as a German ‘Mietkauf’ Car Dealer

• BV X purchased new cars from Germany on a “mietkauf” basis.
• The ownership transfer occurred after payment of the final invoice.
• BV X claimed a VAT refund in their tax return but the inspector denied it.
• BV X appealed the decision and the court found that BV X was a VAT entrepreneur.
• BV X had bought and sold cars to multiple customers and had a network through their work in the hospitality and fitness industry.
• The car sales were affected by the COVID-19 pandemic and chip shortages.
• BV X chose the hire-purchase option for financial reasons.
• The court ruled that BV X did not provide evidence of a car being transported to Spain, so the zero-rate VAT applied to that sale was incorrect.
• BV X was liable for €12,699 in VAT for that sale.
• The court overturned the penalty for non-payment of VAT as it had already been imposed and later cancelled.
• The penalty was considered a violation of the ne bis in idem principle.

Source: futd.nl

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.

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