New decree on calculating floor area for VAT purposes
The Ministry of Finance presented a draft of a new decree on the method of calculating floor area for VAT purposes. The decree responds to changes in legislation pertaining to real estate and construction, about to enter into force on 1 July 2025.
CJEU Advocate General: transfer pricing and VAT treatment
In his opinion (C-726/23), Advocate General Jean Richard de la Tour stated that remuneration for intra-group services calculated using the transactional net margin method as recommended by the OECD should be regarded as consideration for services…
Recovering VAT on bad debts in 2025
Effective from 1 January 2025, the amendment to the VAT Act introduced, among other things, changes concerning the correction of the tax base for bad debts. Let’s look at the changes in more detail.
Income tax and VAT aspects of technical improvements to leased assets
The termination of a lease of premises to which the lessee carried out technical improvement may have significant tax implications for both the lessee and the lessor. If, with the lessor's consent, the lessee makes technical improvement to the…
GFD Information on changes to VAT payer status and registration procedure
In connection with the amendment to the VAT Act effective from 1 January 2025, the GFD issued Information on the VAT payer status and registration procedure. The information provides more precise guidance on when a taxable person becomes a VAT payer…
Fuel cards and VAT: What does new GFD’s information contain?
At the end of last year, the General Financial Directorate (GFD) issued long-awaited information on fuel cards following the much-discussed CJEU judgment of May 2019 in the Vega International Car Transport and Logistic case and the conclusions of…
E-invoicing has green light in Germany
From 1 January 2025, companies established in Germany are obliged to use electronic invoicing for all transactions between local business partners. This makes Germany the first country to introduce e-invoicing under the approved VAT in the Digital…
CJEU: Can VAT be deducted on unnecessary shared services
In Weatherford Atlas Gip SA (C-527/23), the Court of Justice of the European Union held that the tax authority cannot deny a VAT deduction solely on the grounds that the services purchased were not necessary or appropriate for the company’s economic…