ECJ Preliminary Ruling Sought on VAT for Free In-Kind Real Estate Transfers in Restructuring

• The ECJ is asked to clarify the VAT treatment of in-kind contributions of commercially used real estate to corporations made free of charge.
• The main issue is whether such contributions are considered a supply for consideration or a deemed supply under VAT law.
• The compatibility of tax-neutral transfers during restructuring with Article 19 of the VAT Directive is questioned.
• The direct applicability of Article 19 VAT Directive in these cases is also under examination.
• The case was referred by the Austrian Supreme Administrative Court (decision dated 28.05.2025, Ro 2024/13(0020)).

Source: leitnerleitner.com

See also

• General Court Case T-413/25 (Peckeger) – Questions – Did the property transfer qualify as a taxable supply? – VATupdate

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