Christmas gifts to contractors, how and what?
In our newsletters of 27 November 2018 and 10 December 2018 we recalled the possibility for employer to present year-end gifts to employees with a maximum value of EUR 40 for the occasion of Saint-Nicholas, Christmas and New Year. Indeed, provided that certain conditions are met, these gifts can be free from social security contributions
VAT deduction on deal fees for an aborted transaction, and not for an intended sale of shares
Recently, the CJEU decided on two important cases with respect to the VAT deduction on deal fees (see C-249/17 Rynair Ltd. And C-502/17 C&D Foods Acquisition) in a seemingly opposing manner. Ryanair case In the Ryanair case, deal fees were incurred in relation to a failed takeover of a competitor. Ryanair claimed input VAT deduction
Solutions for mandate e-invoicing and Making Tax Digital
The challenge As you may be well aware by now, as from 1 January 2019, e-invoicing becomes mandatory for transactions carried out between taxpayers resident or established for VAT purposes in Italy. This means that as from this date, your IT solution needs to exchange e-invoices in a specified XML format, bidirectionally through the government run Interchange System (so-called
New VAT rules on so called “paid-for-vouchers” will become applicable as from 1 January 2019 in the EU!
On 26 June 2016 an European VAT Directive (EU 2016/1065) was approved to adjust the VAT rules on “paid-for” vouchers which can be redeemed for goods and/or services. This Directive must be implemented in the Belgian VAT legislation as from 1 January 2019, and is applicable to “paid-for” vouchers issued after 31 December 2018. Vouchers remain an
No VAT deduction on deal fees for an intended (not realized) sale of shares
The holding company C&D Foods Acquisition, part of the Arovit group, incurred deal fees in relation to an envisaged but not realised sale of all shares of its sub-subsidiary. C&D Foods acquisition provided taxable services to its sub-subsidiary and claimed input VAT deduction on the costs incurred. The CJEU referred to the Becker case (C-104/12,
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
Option to apply VAT on rent: adopted!
The Belgian Parliament has approved last week the new law allowing to opt for VAT on professional rent. Two important dates: The new rules are applicable as from 1st January 2019 Option is possible if the construction of the building started as from 1st October The VAT administration will publish detailed comments, a.o. on the
Belgium launches pilot program on cooperative tax compliance
The Large Enterprises Division of the Belgian tax administration (“LE Division”) announced the launch of a two-year pilot project on cooperative tax compliance (Cooperative Tax Compliance Program – “CTCP”). The program is aimed at transforming the traditional approach of ex-post tax investigations towards a system of proactive, real-time and constructive dialogue on the tax affairs of corporates.
