- Rechtbank Den Haag rules that VAT reassessment notices were correctly imposed on December 17, 2024
- X BV should have appointed a fiscal representative to apply the VAT zero rate
- X BV is based in the Netherlands and deals in alcoholic beverages
- X BV buys, stores, and sells goods within the excise warehouse or customs depot of Z BV without removing them
- X BV applies the VAT zero rate on goods it sells
- X BV has no employees and its sole director resides in Spain
- The director regularly visits the Netherlands for meetings with sellers and buyers, not in X BV’s rented office but in hotels, restaurants, and Z BV’s office
- X BV did not appoint a fiscal representative in the Netherlands
- The tax inspector argues that X BV incorrectly applied the VAT zero rate as it is not established in the Netherlands
- The court finds that X BV does not have a physical establishment or a fixed establishment in the Netherlands
- Decisions regarding the general management of X BV are likely made in Spain, not during the director’s visits to the Netherlands
- The rented office space serves only as a mailing address and does not qualify as a fixed establishment
- X BV’s appeal is dismissed as unfounded
Source: taxlive.nl
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.
