VAT Exemption Not Applicable to Credit Management After Sale of Credits, Says Advocate General

• The VAT exemption for financial services does not apply to the management of credits after their sale.
• A Oy, after selling its credits to B Oy, continues to manage them for a fee.
• The Advocate General concludes that VAT exemption does not apply to credit management by a company that has sold the credits but continues to manage them for the buyer.
• The exemption only applies when the same entity is both the lender and the manager.
• Other related VAT exemptions (guarantees, security, claims) are also not applicable in this case.

Source: taxlive.nl

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.

---

---