Municipality Can Deduct VAT on Swimming Pool Using Its Own Method, Court Rules

• The municipality can deduct VAT from swimming pool expenses using its own calculation method.
• The Supreme Administrative Court ruled that expenses for pool maintenance, water, and lighting should not be combined with other municipal expenses for VAT deduction purposes.
• The municipality operates the pool for both school activities and taxable business (ticket sales), but cannot allocate specific operating costs to each activity.
• The municipality argued that the standard method for VAT deduction is unsuitable and proposed using the proportion of taxable revenue (ticket sales) to total pool revenue.
• The court agreed that this method best reflects the actual business use of the pool for VAT purposes.

Source: podatki.gazetaprawna.pl

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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