- The taxpayer claims the right to deduct all input tax charged to them.
- They argue that research results and promotional activities support taxable operations.
- The Inspector argues the taxpayer does not have full deduction rights due to subsidies and open-source research results.
- The Inspector views these as independent non-economic activities without deduction rights.
- Article 7 of the Dutch VAT Act and Article 9 of the VAT Directive define who is considered an entrepreneur for VAT purposes.
- The EU Court of Justice’s interpretation of ‘taxable person’ applies to the term ‘entrepreneur’ in the Dutch VAT Act.
- An economic activity is defined as any activity of a manufacturer, trader, or service provider aimed at obtaining sustainable revenue.
- Criteria for economic activity include the activity’s sustainable nature and being conducted for consideration.
- A service is considered for consideration if there is a direct link between the service and the compensation received.
Source: uitspraken.rechtspraak.nl
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.
