In its judgment of 20 April 2023 – C-282/22, the CJEU has already ruled on a case concerning echarging. As the supply of electricity is the main component
of this supply, it constitutes a supply of goods within the meaning of Article 14(1) of the VAT Directive if it consists of the provision of charging equipment
for electric vehicles (including the connection of the charger to the vehicle’s operating system), the transmission of electricity with appropriately adapted parameters to the batteries of the electric vehicle, the necessary technical support for the users concerned and the provision of IT applications.
In the present reference for a preliminary ruling, there is the particularity that the charging stations are not provided by the company, but by a contractual partner. Only after the company has received the invoice from the operators does it issue monthly invoices to the users separately for the supply of electricity and for access to the network service.
The CJEU will therefore have to answer the question of whether a supply can be assumed at all stages of the transaction chain if only the user of the vehicle can decide on circumstances such as the quantity, time and place of charging and the way in which the electricity is used. Somewhat surprisingly, the Advocate General comes to the conclusion in her opinion that the transactions would be based on a commission contract. This idea was not addressed either in the request for a preliminary ruling or in the written comments of the parties involved. However, according to the Advocate General, it was apparently discussed at the oral hearing before the CJEU. This is a remarkable and unusual development in CJEU proceedings. It will be interesting to see whether the CJEU follows the Advocate General here.
Source KPMG
See also
- Join the Linkedin Group on ECJ VAT Cases, click HERE
- VATupdate.com – Your FREE source of information on ECJ VAT Cases
