The case concerned whether the complaining company was entitled to deduct VAT on the purchase of advisers in connection with the purchase of the shares in a company. With regard to invoices issued by the advisers to the complainant’s owner, the holding company, the National Tax Tribunal found that the complainant company did not meet the conditions for deducting the purchase VAT. The National Tax Tribunal hereby relied on the fact that the advisory services could not be considered to have been provided to the complainant company for the purpose of the complainant company’s exercise of taxable economic activity, as a precondition for being entitled to a deduction for input tax is that the service must be provided to the taxable person person requesting the deduction. As the case was informed, the advisory services were invoiced to and paid for by the holding company and delivered to and used by the parent company 2 as part of the acquisition of shares. With regard to invoices issued by the advisers to the seller of the shares, the National Tax Court also found that the complaining company did not meet the conditions for deducting the purchase VAT. It was hereby taken into account that the advisory services were provided to and paid for by the seller and that the complaining company was not entitled to deduct input VAT on services provided to another taxable person. With regard to invoices issued by the advisers to the complaining company, the National Tax Court found that the complaining company was entitled to a deduction of the input VAT on these invoices, cf. Chapter 9 of the VAT Act. which the complainant carried out in connection with the holding of shares in the subsidiary and its subsidiaries did not constitute an economic activity within the meaning of the VAT Act and that the complainant in addition exercised independent economic activity in connection with the provision of administration and management services to the subsidiary and its subsidiaries, cf. section 3 (1) of the VAT Act. 1, cf. section 4 (1) of the VAT Act. 1. The National Tax Court then referred the numerical statement of the amount of the deduction back to the Danish Tax Agency. and that the complaining company in addition exercised independent financial activity in connection with the provision of administration and management services to the subsidiary and its subsidiaries, cf. section 3 (1) of the VAT Act. 1, cf. section 4 (1) of the VAT Act. 1. The National Tax Court then referred the numerical statement of the amount of the deduction back to the Danish Tax Agency. and that the complaining company in addition exercised independent financial activity in connection with the provision of administration and management services to the subsidiary and its subsidiaries, cf. section 3 (1) of the VAT Act. 1, cf. section 4 (1) of the VAT Act. 1. The National Tax Court then referred the numerical statement of the amount of the deduction back to the Danish Tax Agency.
Source: skat.dk
