- The Court of Appeal of Arnhem-Leeuwarden ruled that the EU law defense principle was violated in a case involving X BV and additional tax assessments, but the assessments will not be annulled as X BV could not prove that the decision-making process of the inspector would have had a different outcome without the violation.
- X BV was found to have deducted non-businesslike renovation costs from its profit and the VAT input tax was not deductible.
- X BV argued that the renovation costs related to the renovation of an office building, but this was not deemed plausible by the court.
- The additional VAT assessment in 2008 was annulled due to non-timely sending, but the other additional tax assessments will remain in effect.
Source Taxlive
