- The National Court supports the 300 euro limit for modifying the VAT taxable base for uncollectible debts from final consumers.
- Three similar cases were analyzed involving SECURITAS DIRECT ESPAÑA against the tax authority due to provisional VAT assessments for 2018 and 2019.
- SECURITAS issued corrective invoices to reduce the VAT taxable base, considering certain debts uncollectible, with individual debts under 300 euros.
- The conflict arose because the tax authority deemed it inappropriate to modify the VAT taxable base for uncollectible debts under 300 euros when the debtor is an individual.
- The tax authority relied on the VAT Law, which required the taxable base to exceed 300 euros for final consumers to consider a debt uncollectible.
- SECURITAS argued this requirement violated the EU Directive 2006/112/CE, which allows modifying the taxable base in case of non-payment.
- SECURITAS sought recognition of its right to reduce the VAT taxable base and annulment of the provisional assessments.
- The tax authority maintained that the modification was not applicable as the debts were under 300 euros and involved final consumers.
- The National Court dismissed SECURITAS’s appeals, upholding the tax authority’s decisions.
- The court based its decision on the EU Directive allowing member states to set conditions for reducing the taxable base in case of non-payment.
Source: audiconsultores-etlglobal.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.
