The European Court of Justice (ECJ) ruling on the Arcomet case highlights that transfer pricing adjustments can pose VAT risks. Clear contracts are crucial to mitigate these risks. The case involved the internal cross-border transactions between Arcomet companies in Belgium and Romania, focusing on the VAT implications of retroactive pricing adjustments. The ECJ clarified the conditions under which such adjustments affect VAT, emphasizing the importance of precise contractual agreements to avoid potential tax liabilities. The ruling has significant implications for companies engaged in similar cross-border transactions within the EU.
Source: bakertilly.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.
Latest Posts in "European Union"
- CJ Rules on Customs Valuation for Imports with Provisional Prices: Tauritus Case (C-782/23)
- EDPS Opinion on EPPO and OLAF Access to VAT Data for Combating EU Fraud
- EU Agrees on Temporary €3 Customs Duty for Low-Value E-Commerce Parcels from July 2026
- New InfoCuria case-law database and search tool
- New General Court VAT case – C-903/25 (Grotta Nuova) – No details known yet
