French Court Rules VAT Deductible for Energy-Saving Certificates Resale by Energy Company

• The French Administrative Court of Montreuil issued Jurisprudence Letter No. 18 on May 30.
• The letter clarifies VAT deduction for energy-saving certificates.
• The taxpayer was an energy company issuing energy-saving certificates.
• The company resold surplus certificates from energy-saving operations.
• French tax authorities denied VAT deduction on invoices for energy renovation works.
• The court ruled the taxpayer was entitled to discharge of VAT arrears and additional corporate income tax.
• The court found the costs were necessary work expenses for reselling certificates.
• VAT charges were deemed deductible.

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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