French Court of Appeal Rules on VAT Refunds for Racehorse Winnings, Dismissing Taxpayer’s Appeal

• The French Court of Appeal of Nantes issued a decision on March 25 regarding VAT refunds on race winnings.
• The taxpayer was a company involved in breeding and training racehorses.
• The taxpayer’s appeal for a VAT refund and reimbursement of VAT credit was dismissed.
• The court found the General Tax Code provision incompatible with EU Directive 2006/112/EC.
• The provision of a horse for a race should be excluded from winnings according to the directive.
• An EU country can correct VAT on an invoice if a corrected invoice is issued without VAT.
• The taxpayer did not fully eliminate the risk of tax revenue loss by preventing VAT deduction on winnings.

Source: news.bloombergtax.com

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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