The standstill clause tested: advocate general’s view on Spanish VAT deduction restrictions

Core question: Case C-515/24 examines whether Spain could introduce VAT deduction limitations at the moment of EU accession under the standstill clause in Article 176 of the VAT Directive.
AG Kokott’s opinion: Spain’s simultaneous introduction of VAT and its limitations is permissible under the standstill clause because, before accession, Spain had no VAT system; thus, the exclusion was “provided for” in national law at accession, satisfying the directive’s requirements.
Implications: If upheld, the opinion confirms Spain’s restrictions on entertainment expense deductions and sets a precedent allowing new member states to apply proportionate limitations at accession, preserving VAT neutrality and coherence.