The General Sales Tax Knowledge Groups and OVI have confirmed that a public law body can be part of a fiscal unity under the OB Act 1968, without needing to be considered an entrepreneur for all its activities. In a specific case involving municipality X and A bv, where A bv provides staff to municipality X for both government and entrepreneurial activities, it has been determined that limited tax liability does not prevent the formation of a fiscal unity. Furthermore, it has been established that the public law body, as part of the fiscal unity, can independently carry out activities according to the VAT Directive. This recognition is based on a judgment by the CJEU in December 2022, which acknowledges that a public law body within a fiscal unity retains its own legal form and continues to participate independently in economic transactions.
Source Taxlive
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