The case concerns an appeal against the tax office’s decision to recalculate input VAT on costs for the rehabilitation of a car park. The legal issue that is raised is whether the relevant rehabilitation costs are for use in the taxpayer’s tax-exempt sale of real estate, and thus whether the rehabilitation costs are deductible.
In the alternative, there is also the question of a proportional right to deduct.
The disputed amount is NOK 4,836,410 in post-calculated input VAT.
The case also concerns a complaint about the imposition of additional tax of 20 percent. Additional tax levied amounts to NOK 967,282.
The complaint was partially upheld.
Legal references:
the Value Added Tax Act § 3-1, § 3-11 first paragraph, § 3-11 second paragraph letter c, § 81, § 8-2, § 9-1, § 9-2, § 21-3, the Tax Administration Act § 14-3 , Article 6 (1) of the ECHR, Article 13 of the ECHR
Source: skatteetaten.no
