- Municipality X acted as the formal client for school renovation to obtain a VAT benefit of about €420,000.
- The tax inspector imposed additional assessments, arguing X was not the real recipient, did not perform economic activity, and abused the law.
- The court ruled X was the recipient and engaged in economic activity, rejecting the inspector’s other arguments.
- However, the court agreed there was abuse of law, as the main purpose was to gain tax advantage.
- The additional tax assessments were upheld.
Source: futd.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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