Recent EU rulings on VAT penalties for shell companies: administrative practice and jurisprudence update

• Recent administrative and EU case law have addressed the tax penalties for shell companies
• The tax rules aim to discourage the use of corporate structures to hide the true owner of assets
• Penalties related to VAT have been the subject of recent rulings and interpretations
• Certain criteria determine if a company is considered “non-operational” for tax purposes
• Restrictions on VAT credits and refunds apply to shell companies
• The possibility of reclaiming contested VAT credits has been acknowledged in certain cases

Source: eutekne.info

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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