VATupdate
VAT news

Share this post on

VATupdate Newsletter Week 6 2024

No charge

In a world where taxes seem as inevitable as the sunrise, even the most seemingly straightforward situations can lead to perplexing legal puzzles. Take, for instance, the case of a lawyer providing services free of charge. The question arises: are his services still subject to VAT?

Picture this: You lounge in your pyjamas all day, basking in the glory of doing absolutely nothing. Yet, the taxman comes knocking on your door, demanding a slice of your non-existent productivity. Sounds absurd? Welcome to the whimsical world of tax law.

The crux of the matter lies in the interpretation of VAT regulations. Is a free legal service akin to a ‘supplied service free of charge’ within the confines of Article 24(1) of the VAT Directive? This is a recent question raised to the ECJ.

In the case, the lawyer provides pro-bono services for the defendant, and when he wins the case, the court sentences that the lawyer is compensated for his fees. The question is if this means that the lawyer (thus) receives a compensation for his services?

In a world where doing nothing all day doesn’t exempt you from taxation, and where even acts of generosity can trigger a tax audit, one can’t help but marvel at the absurdity of it all. Perhaps it’s a reminder that when it comes to taxes, life is often stranger than fiction.

So, as we navigate the labyrinthine corridors of VAT, let’s not forget to appreciate the comedy of errors that often accompanies it. After all, in the grand comedy of life, even the taxman has a sense of humour…or so we hope.

If you have any comments, questions, or ideas that you want to share with us, please send us an email at [email protected] or leave a comment under the posts of this newsletter on LinkedIn.


To go directly to the region, click below:


WORLD

WORLD

WEBINARS / EVENTS


AFRICA

CONGO

EGYPT

GHANA

IVORY COAST

MAURITIUS

NIGERIA

SENEGAL

SIERRA LEONE

SOUTH AFRICA

ZAMBIA


AMERICAS

BAHAMAS

BOLIVIA

BRAZIL

CANADA

CHILE

COLOMBIA

ECUADOR

LATIN AMERICA

MEXICO

PANAMA

PARAGUAY

UNITED STATES

URUGUAY

VENEZUELA


ASIA-PACIFIC

AZERBAIJAN

BANGLADESH

CHINA

INDIA

INDONESIA

JAPAN

KAZAKHSTAN

MALAYSIA

PAKISTAN

PHILIPPINES

SINGAPORE

SRI LANKA

TAIWAN

THAILAND

UZBEKISTAN

VIETNAM


EUROPE

EUROPE

EUROPEAN COURT OF JUSTICE

EUROPEAN UNION

EUROPEAN UNION – ViDA

BELGIUM

BULGARIA

CROATIA

CZECH REPUBLIC

DENMARK

ESTONIA

FRANCE

GERMANY

GREECE

HUNGARY

ITALY

LATVIA

LITHUANIA

MALTA

NETHERLANDS

POLAND

PORTUGAL

ROMANIA

RUSSIA

SERBIA

SLOVAKIA

SLOVENIA

SPAIN

SWEDEN

SWITZERLAND

TURKEY

UKRAINE

UNITED KINGDOM


MIDDLE EAST

ISRAEL

KUWAIT

SAUDI ARABIA

UNITED ARAB EMIRATES


 

Sponsors:

VAT news
VAT news

Advertisements:

  • VATupdate.com
  • AXWAY - VATupdate Banner