CJEU on the VAT treatment of electricity supplies from charging stations
In its recent judgment, the Court of Justice of the European Union (CJEU) held that the charging of electric vehicles and the provision of related services constitute a complex transaction consisting of a supply of goods.
The present case (judgment No. C-282/22) concerned the operation of recharging points for electric vehicles accessible to the public, providing customers with:
- access to a recharging device (including integration of the charger with the vehicle’s operating system)
- the supply of electricity with suitably set parameters to the vehicle batteries
- necessary technical support to vehicle users
- a digital application allowing the user to reserve a connector, view the transaction history, and purchase e-wallet credits to pay for the recharging sessions.
The CJEU first stated that the supply of electricity to the battery of an electric vehicle is a supply of goods. Access to a suitable recharging device, technical support, and the provision of a digital application are themselves supplies of services. However, in the present case, they are ancillary supplies to the supply of electricity, serving as a means of better enjoying the supply of electricity to power an electric vehicle.
The CJEU therefore concluded that the transfer of electricity constitutes a characteristic and predominant element of a single complex transaction which consists in the supply of goods within the meaning of Article 14 (1) of Council Directive 2006/112/EC on the common system of value added tax.