Deductibility of input tax on incidental purchase of nickel batch – Court ruling 21 Feb 2024

• X, a German company, purchased a batch of nickel in the Netherlands in 2015 for its ICT activities
• The court ruled that X is entitled to deduct input tax charged on the purchase of nickel
• The tax inspector appealed, but the Court of Appeal upheld the decision
• X is considered an entrepreneur for its ICT activities and the purchase of nickel was deemed an economic activity
• The VAT charged to X on the purchase is deductible under the tax law

Source: nlfiscaal.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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