Comments on ECJ C-333/20: Landmark CJEU ruling – Subsidiary rendering services to its parent is not a fixed establishment of the latter

The Court of Justice of the European Union (“CJEU”) ruled on 7 April 2022 in the long-awaited Berlin Chemie case (C-333/20) that a company which has its registered office in one Member State does not have a fixed establishment for VAT purposes in another Member State on the ground that that company owns a subsidiary in another Member State that makes available to it human and technical resources under contracts by means of which that subsidiary provides, exclusively to it, marketing, regulatory, advertising and representation services that are capable of having a direct influence on the volume of its sales.

Source Linklaters

See also ECJ C-333/20 (Berlin Chemie A. Menarini SRL) – Judgment – No Fixed establishment via affiliate rendering services on an exclusive basis