Recharging cost of repair of goods under warranty: consideration for services or ‘outside the scope of VAT’? (ECJ C-605/20)

Pending Case C-605/20 (Suzlon Wind Energy Portugal)

The Portuguese Supreme Administrative Court has asked the CJEU to explain whether the recharge of repair costs to the manufacturer of the repaired goods, for which the manufacturer is liable under the product warranty, is a consideration for services performed by the business that arranged the repair services. This business purchased the goods from the manufacturer and sold them to its customers.

Source Jeroen Bijl

All newsletters on the case C-605/20 (Suzlon Wind Energy Portugal) – Question – VAT treatment of “free” warranty repairs, click HERE