VAT deduction on deal fees for an aborted transaction
Ryanair incurred considerable deal fees in relation to an envisaged takeover of a competitor. The takeover failed. Ryanair claimed input VAT deduction on the professional costs incurred based on its intention to perform taxable transactions with input VAT credit. In relation to deal fees, generally, input VAT deduction is allowed if management services against consideration
VAT deduction on the services linked to the sale of shares: positive arrest of the Court of Appeal
The sale of shares is exempt from VAT and therefore the VAT authorities generally reject the VAT deduction on the costs linked to such sale. This position was moderated by the CJEU (Skatteverket c/ AB SKF Case, C-29/08), who confirmed that there is a right to deduct input VAT on the costs related to a
VAT quarterly advance payments shall be abolished as from 1 April 2017
In the context of a simplification of the Belgian VAT compliance, the Belgian Finance Minister has announced the abolishment of the mandatory monthly advance payments on VAT for quarterly VAT declarants. The Royal Decree will be published shortly and should take effect as from 1 April 2017. Background Currently, quarterly VAT declarants are subject to
Commission proposes new VAT rules to support e-commerce and online businesses in the EU
Yesterday, the EU Commission has introduced a series of proposals to simplify the VAT rules for e-commerce and reduce compliance on online sales of goods. The proposals include: Broadening of the One-Stop-Shop system to companies selling goods online (distance sales); Thresholds for cross-border sales of electronic services; Removal of the VAT exemption for small value
VAT on directors fees – new detailed guidelines
In a previous newsflash, we informed you that a company acting as a director (or a liquidator etc.) will no longer be able to invoice its director fees outside the scope of VAT. The entry into force of this decision has been repeatedly delayed. On 30 March 2016, the Belgian VAT Administration published comprehensive guidelines on
Have you considered the VAT impact when dealing with Transactions?
In today’s tax world, considering VAT in a timely manner is key to limiting the negative impact it can have on your transaction budget. VAT on transactions can lead to either VAT savings or a VAT burden depending on various factors. Recent developments in EUCJ case law that allows VAT deduction for active management holding
