BELGIUM implements entry certificate +++ FRANCE promotes e-invoicing +++ LATVIA expands reverse-charge-system +++ NORWAY intends to implement SAF-T +++ AUSTRIA boasts interesting court decisions +++ POLAND publishes regulation regarding SAF-T +++ SLOVENIA restricts registration requirement and implements simplification for import VAT +++ CZECH REPUBLIC expands reverse-charge-system and abolishes tax exemption +++ Hungary expands EKAER obligations

From time to time, taxable persons find themselves accused of being involved in VAT carousels. The tax court in Baden-Wuerttemberg recently granted a suspension of enforcement to such a taxable person. If there is VAT fraud in a supply chain, denying the input VAT deduction for every purchase in the chain is more than the principle of neutrality requires. Furthermore, the suspension was granted, as the enforcement of the VAT assessments would have resulted in significant financial hardship for the Applicant.

The Federal Fiscal Court has recently amended its case law regarding VAT groups and has decided that a partnership may be a controlled company. The heads of unit regarding VAT have discussed the judgments and the results have now been published by the Upper Tax Authority Frankfurt/Main. Fundamentally, the decisions are unlikely to be generally applicable. Right now, the tax authorities only recognize a GmbH & Co. KG, which is completely controlled by a person, as a part of a VAT group.