- The Supreme Court stated that removing territorial restrictions would undermine the coherence of the VAT system established by the VAT Directive 2006 and the distribution of taxing rights among member states
- The territorial restriction in Article 11 of the VAT Directive 2006 was deemed necessary to maintain the integrity of the common VAT system and the distribution of taxing powers
- The Supreme Court rejected Xs argument that less restrictive measures could be envisioned, stating that such measures would require further harmonization of the VAT system to be effective
- The court decided that the territorial restriction was justified by a compelling reason of general interest
Source: futd.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.
