Case law
CJEU: Electricity is commodity
The Court of Justice of the EU (CJEU) has ruled that a German company must charge Swedish VAT on supplies of electricity at charging stations in Sweden. The judgement provides clear rules for the taxation of electricity and highlights differences…
CJEU: VAT deduction on assets provided to suppliers free of charge
The Court of Justice of the EU (CJEU) has ruled in favour of the taxpayer in a dispute between an Austrian company and the Romanian tax authority over the deduction of VAT on an asset provided to a subcontractor. The tax authority had challenged the…
CJEU on possibility of refunding VAT incorrectly invoiced and paid
In its judgment, the Court of Justice of the European Union (CJEU) held that VAT invoiced and paid incorrectly/without justification can only be refunded to the supply recipient if the VAT cannot be recovered from the supplier.
VAT on sale of building land to related party
The Supreme Administrative Court (SAC) dealt with a dispute over the tax liability arising from the sale of land between a company and its sole owner and director/statutory representative. The company regarded the sale as an exempt transaction. The…
Can subsidiaries deduct VAT on supplies received by parent?
The Supreme Administrative Court (SAC) recently dealt with a complaint by a subsidiary regarding the right to deduct input VAT on an invoice received. The transaction involved advisory services provided by a parent company's financial advisor. They…
Taxpayers entitled to interest on interest
The possibility of charging interest on outstanding interest in tax disputes was subject to several conditions formulated mainly in the Supreme Administrative Court's judgment in the ERAMENT Trading case. However, the recent Constitutional Court’s…
Preliminary question for CJEU: is minimum technical equipment overhead cost?
The Supreme Administrative Court (SAC) referred to the Court of Justice of the EU (CJEU) the preliminary question whether the minimum technical equipment (in this case, defibrillators purchased by a hospital) can be considered general (overhead)…
SAC on claiming R&D allowance
In its recent judgment, the Supreme Administrative Court (SAC) has addressed whether to allow claimed research and development (R&D) allowances. In the relevant case, the tax administrator disallowed these costs on the grounds that the basic…
Proving costs of light advertising
The Supreme Administrative Court (SAC) dealt with the tax deductibility of costs incurred for advertising that broadcast a video spot on a LED screen. The tax administrator had doubts about the spot’s broadcasting frequency and assessed the costs as…
Time factor and standard of proof in tax inspection
In its recent judgment, the Supreme Administrative Court (SAC) dealt with the issue of proving the right to deduct VAT on supplies of assembly work and the amount of evidence that the tax administrator may require considering the time elapsed…
CJEU on rejecting application for VAT refund
The Court of Justice of the European Union (CJEU) has held that the one-month time limit for submitting additional information in the proceedings for a VAT refund is not a limitation period. If national legislation does not allow new evidence to be…
SAC on tax treatment of sale of unfinished real estate and related project
The Supreme Administrative Court (SAC) dealt with the tax deductibility of costs related to a development project upon the sale of unfinished real property. The tax administrator did not recognise most of the costs as tax relevant, and the Supreme…