Following an application to SKAT, an association in accordance with the VAT Act, section 13, subsection 1, no. 17, permission for VAT exemption for holding a concert with an artist on 15 June 2017. The association applied for another permit for VAT exemption for holding a concert with another artist on 27 June 2017. SKAT did not accept this application with reference to the fact that the association held more than one event in the same month. The National Tax Court referred to section 1 (1) of the VAT Executive Order. 1, 2), 2nd indent, according to which permission for tax exemption for holding charitable events is given annually to “2 events of up to 8 days duration” and noted that in 2017 the association only held the two events, none of which had a duration of more than 8 days. This was followed by the wording of the provision, that permission could be granted for both events. The National Tax Court noted that it was not explicitly stipulated in section 1 of the VAT Executive Order that permission for tax exemption for holding charitable events, which – like both the association’s concerts in 2017 – does not exceed 3 days duration, could only be granted under 1, no. 1. Following this, the National Tax Court amended SKAT’s decision so that a tax exemption was announced for the concert on 27 June 2017.
Source: skat.dk
Latest Posts in "Denmark"
- Danish Tax Council Clarifies VAT and Electricity Tax Rules for EV Charging Services
- Denmark Clarifies VAT Deduction Rules for Subcontractor Services in Concert and Event Industry
- Danish Tax Council Clarifies Electricity Tax and VAT for EV Charging Station Operators
- Danish Court Denies VAT Deductions for Concert Company Due to Insufficient Subcontractor Documentation
- Tax and VAT Treatment for Charging Stations: Electricity Tax Refunds, Billing Basis, and VAT Deductions
