Municipality Entitled to Full VAT Deduction for Market Redevelopment, Court Confirms

• The municipality has the right to fully deduct VAT for the market redevelopment.
• The municipality acts as a VAT taxpayer when redeveloping the market and renting out trading spaces.
• The public nature of the market does not exclude taxation.
• The case involved the redevelopment of a municipal market by the municipality.
• The investment is part of the municipality’s responsibilities to meet the community’s collective needs.
• The municipality charges a reservation fee for market spaces and a market fee, documented with VAT invoices.
• The municipality argues that the redeveloped market will serve business activities, allowing full VAT deduction.

Source: podatki.gazetaprawna.pl

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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