The recent CJEU ruling (C-533/22) clarified that belonging to the same group or being bound by a service contract does not automatically create a fixed establishment for VAT purposes. It distinguished between “sales” and “purchase” VAT fixed establishments, stating that the location of a supporting agent company or the place where services are acquired does not necessarily establish a fixed establishment. The ruling also emphasized that technical and human resources that are not distinct from those of the provider should not be considered when determining the existence of a VAT fixed establishment in a given Member State.
Source Pedro Costa Monteiro, Ph.D.
See also
- C-533/22 (Adient) – Judgment – NO Fixed establishment solely on the basis that the two companies belong to the same group
- Roadtrip through ECJ Cases – Focus on ”Fixed Establishments” (Art. 44 & 45)
- Join the Linkedin Group on ECJ VAT Cases, click HERE
- VATupdate.com – Your FREE source of information on ECJ VAT Cases
