- Supplies of insurance and reinsurance to EU policyholders/companies are VAT exempt, so related costs are not eligible for VAT deductibility.
- Supplies of insurance and reinsurance to non-EU policyholders/companies are qualifying activities, so related costs are eligible for VAT deductibility.
- For costs related to both EU and non-EU activities, VAT deductibility must be apportioned according to standard rules.
- VAT on costs related to investment activities (e.g., share trading) with non-EU counterparties is deductible; with EU counterparties, it is not.
- Businesses must use a consistent methodology for apportioning VAT on general overheads related to both insurance/reinsurance and investment activities.
Source: regfollower.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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