Generation of VAT in the case of mediation services

BFH, ruling of 1 February 2022, V R 37/21 (V R 16/19)

This ruling concerns questions on the point in time in VAT law at which VAT arises.

According to the case law of the CJEU and BFH, an agreed instalment payment alone is not sufficient for later generation of VAT at the time the respective instalment is due. Rather, partial supplies must be added, i.e. a service with a “continuous or recurring character”.

Source KPMG

See also

• ECJ C-324/20 (Finanzamt B) – Decision – Tax point for one-off services is when the services are supplied
• C-548/17 (Baumgarten Sports) – Periodic commission for placing professional football players not taxed at the time of placement

---

---