- The CJEU ruled that national procedural autonomy in VAT cases is limited by the EU Charter of Fundamental Rights, which sets binding minimum standards.
- Effective judicial protection (Art. 47) requires courts to review the legality of interim tax measures; remedies must be meaningful and not illusory.
- Concurrent, uncoordinated criminal sanctions (fines and closures) for the same conduct breach the ne bis in idem principle (Art. 50), and mandatory minimum fines without judicial discretion violate proportionality (Art. 49(3)).
- The Charter directly influences VAT enforcement, ensuring proportionality, protection against double punishment, and effective remedies across the EU.
- Businesses can now more effectively challenge harsh or automatic VAT penalties and should assess penalties for Charter compatibility in disputes.
Source: alvarezandmarsal.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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