- Distinction between undisclosed and disclosed agent is important for VAT purposes
- Rules for intermediation are autonomous from a tax point of view
- Intermediation involves activity between two parties by an agent for the benefit of one party
- Agents do not own goods or provide services with their own resources
- Two types of intermediaries for VAT: disclosed agents and undisclosed agents
- Disclosed agents act in the name and on behalf of others
- Conditions for disclosed agents include clear contract specifying acting on behalf of third party
- Transactions by disclosed agents are deemed to be carried out on behalf of the principal
Source: cyplom.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
