- If import VAT previously claimed as input tax is refunded to the insolvency estate after a successful insolvency challenge, the company must correct its input tax deduction according to § 17(3) sentence 1 UStG. The term “refunded” refers solely to the actual repayment, regardless of whether the original payment was legally justified. The BFH clarifies that such a refund is not VAT-neutral and requires input tax adjustment.
Source: datenbank.nwb.de
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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