The CJEU ruled that electric vehicle (EV) charging is a composite supply, primarily considered a supply of goods due to the provision of electricity being the central aspect. This classification has significant implications for businesses in the EV charging sector, potentially requiring VAT registration in foreign jurisdictions and necessitating adjustments to invoicing and ERP systems. The ruling originated from a case in Poland, where the CJEU affirmed that the primary element of the composite supply is the transfer of electricity, categorizing it as a supply of goods. This decision emphasizes the need for businesses in the EV charging sector to review their VAT compliance and systems to align with this new understanding.
Source GlobalVATcompliance
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