- The BMF has issued a new ruling on the VAT treatment of fuel card transactions.
- The ruling clarifies that fuel card transactions are not considered a chain of supplies but rather a financing agreement.
- The ruling is based on the European Court of Justice (ECJ) decisions in Auto Lease Holland and Vega International.
- In Auto Lease Holland, the ECJ ruled that the leasing company did not have control over the fuel and was merely financing the fuel costs for the lessee.
- In Vega International, the ECJ ruled that the parent company was providing a service to its subsidiary by providing fuel cards and charging a fee for the service.
- The BMF’s new ruling applies to all open cases involving the issuance of fuel cards.
- The ruling clarifies the criteria for distinguishing between chain transactions and financial services in the automotive leasing sector.
Source: fgs.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.
