- Skattestyrelsens previous practice of charging VAT on municipal waste services to private landowners and homeowner associations has been overturned by the Landsskatteretten’s decisions on October 21, 2020.
- The Landsskatteretten ruled that municipalities should not be considered taxable persons for the provision of waste services to private landowners and homeowner associations, as they are not in competition with businesses and do not fall under the concept of “utility services” in the VAT Act.
- As a result, municipalities are not required to collect and remit VAT for the provision of waste services to private landowners and homeowner associations under the VAT Act.
- The Landsskatteretten’s decisions include requests for reopening of tax assessments dating back to the first quarter of 2012 and a case involving a disputed binding ruling from the Skatterådet in 2015.
- The legal basis for the Landsskatteretten’s decisions is found in sections 3 and 9 of the VAT Act, which define taxable persons and exempt certain transactions between public institutions.
Source: info.skat.dk
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.
