No VAT Deduction Allowed for ICT Manager’s Mobile Phone Bundles, Court Rules

• An ICT manager running a sole proprietorship claimed VAT deductions on mobile phone bundles.
• He bought multiple phone subscriptions, selling or gifting most of the devices privately.
• Tax authorities found undeclared income and incorrectly reported expenses, issuing VAT reassessments for 2019 and 2020.
• The court ruled the 2019 VAT assessment was too high but upheld the 2020 corrections.
• VAT on the mobile phone bundles was not deductible because the device sales/gifts were not taxable economic activities.

Source: fiscount.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.

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