Requirements for VAT group with AG as subsidiary: control over AG by parent company.

• VAT group with a AG as subsidiary requires the controlling entity to be able to enforce its will at the AG
• If employees of the controlling entity are appointed as board members at the AG, the controlling entity must be able to enforce its directive authority
• Plaintiff was a AG, which was the sole shareholder of A-AG
• The board members of A-AG were employees from the facility management of the plaintiff, who were not part of the board or supervisory board of the plaintiff

Source: datenbank.nwb.de

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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