The Dutch Supreme Court issued a decision on 17 July 2021 concluding that the place of supply rule for intermediary services applies even where the activities performed under the relevant contract are not subject to VAT.
Under the VAT rules, an intermediary for VAT purposes is defined as a person/entity acting as a third party in arranging or facilitating the making of supplies. The place of supply for intermediary services is the place where the underlying transaction is taxable.
B2C intermediary services are subject to VAT in the country where the underlying supply (i.e., the supply for which parties conclude a contact) is subject to VAT. But what if there is no underlying supply subject to VAT? Is the special place of supply rule for intermediary services still applicable, and if so, where is the place of supply?
Source
Latest Posts in "Netherlands"
- No Reduced VAT Rate for Nightclub Entry Fees with DJ Performances, Court Rules
- Tax Plan 2026: Reduced VAT Rate for Culture, Media, and Sports Retained
- Proposed VAT Revision Rules for Renovation Services Starting 2026: Key Changes and Implications
- VAT deduction apartment: business office or home? Ruling on actual use and the principle of equality
- Budget 2026: VAT Rate Reversals, Property Rules & Cross-Border Compliance
