Tax Appeals Board Decision on VAT Registration for Subletting of Building Space

Tax Appeals Board Decision No. SKNA12-2024-16 clarifies voluntary VAT registration by notification
Taxpayer sublet first floor of building to a restaurant
Taxpayer not entitled to input deductions for rent and tenant adaptations for sublet
Taxpayer claimed subletting was voluntary registration by notification under VAT Act
Tax Appeals Board agreed with Secretariat’s recommendation to deny deductions
Leasing of real estate exempt from VAT from sixth period of 2018 to second period of 2021
Agreement didn’t state subletting was subject to VAT
Taxpayer not entitled to deductions as there was no active choice to apply VAT

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.