Danish Court Upholds Denial of VAT Deductions Due to Insufficient Invoice Documentation

• The taxpayer claimed input VAT deductions and operating cost expenses based on invoices and two payments without invoices.
• The Tax Agency denied the deductions due to insufficient documentation of the deliveries.
• The Western High Court upheld the denial, citing a heightened burden of proof because of the taxpayer’s relationship with the subcontractor.
• The invoices lacked sufficient detail and supporting evidence regarding the services or goods supplied.
• The taxpayer failed to prove the sales were recognized in its income tax return.

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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