Comments on ECJ case C-442/22: Employee must pay VAT for issuing false invoices on employer’s data – ECJ ruling absurd

• ECJ ruled that an employee using their employer’s data to issue false invoices is obligated to pay the indicated amount of tax
• The employee must pay VAT only if the employer exercised due diligence in controlling the issuance of invoices
• The case involved a Polish company where an employee issued 1679 false invoices without reflecting actual sales transactions
• The employee used the employer’s data without their knowledge or consent to obtain an undue VAT refund
• The company did not include the fraudulent invoices in their tax declarations, leading to a tax assessment by the authorities
• The company argued lack of supervision and organization allowed the employee to commit fraud
• TSUE clarified that VAT is not due from the issuer of a false invoice if they acted in good faith and the tax authorities know the true identity of the actual issuer
• Employers must exercise due diligence to control their employees’ actions to avoid misuse of their data for fraudulent activities.

Source: ksiegowosc.infor.pl

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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