Judgment of the E.C.J., 28/10/2021, X-Beteiligungsgesellschaft mbH, c-324/20.
Businesses act as tax collectors on behalf of the government: they must collect VAT from their customers and then pay it to the Treasury.
VAT is normally due at the time the supply of goods or services takes place.
However, the exact moment when a transaction is carried out is not always easy to determine, especially when it takes place over a long period of time (e.g. a construction site) or on a recurrent and continuous basis (e.g. internet subscription, gas supply, etc.). Therefore, when the transaction gives rise to successive breakdowns or payments, the Directive shifts the moment when VAT becomes chargeable to the end of the periods to which these breakdowns or payments relate.
Source vatdesk.eu
Latest Posts in "European Union"
- E-Invoicing & E-Reporting Explained: EN16931 – European E-Invoicing Standard
- VAT Concepts Explained: “Consideration” and Direct Link: Defining What Constitutes a Supply
- EU’s ViDA in Motion: How EU Member States Are Preparing for implementing Digital Reporting Requirements (DRR)
- EU “28th Tax Regime” Study: Implications for VAT and Customs in Cross‑Border Business
- Year-End Adjustments: Impact of Latest ECJ Rulings on VAT and Transfer Pricing in Practice
