- The BFH addressed the issue of input tax allocation during the continuation of a business in insolvency proceedings.
- The decision is related to another BFH decision from the same day.
- Input tax from an insolvency administrator’s service must be allocated according to § 15 Abs. 4 UStG.
- This applies when the insolvency debtor uses the service for both business and private insolvency liabilities.
- Exceptionally, input tax allocation can be based on the debtor’s overall activity during administration.
- This is applicable if the insolvency administrator continues the debtor’s business without liquidation actions.
Source: datenbank.nwb.de
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.
