Denmark Clarifies VAT Rules for Intra-Group Airline Ticket Resales After Tax Court Decision

• The Danish National Tax Court clarified VAT rules for intra-group airline ticket resales.
• A travel agency used a subsidiary to buy and resell tickets VAT-free at a higher price.
• The court found the subsidiary acted on behalf of the parent and had no independent economic activity.
• The subsidiary was not considered a taxable person, making the resale outside the scope of VAT.
• The price markup on the resale was not subject to VAT.

Source: news.bloombergtax.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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