On 13 June 2024, the Court of Justice of the European Union (CJEU) issued a decision in case C-533/22 (SC Adient Ltd & Co. KG). The case concerned whether a controlled company or a group company is a fixed establishment for VAT purposes. This is the fifth ruling on this issue since the CJEU’s 2020 judgment in C547/18 (Dong Yang Electronics).
The CJEU confirmed that merely belonging to the same group or having a contractual agreement does not constitute a fixed establishment. The supply of goods and related operations are not relevant in determining a fixed establishment. No fixed establishment exists if the human and technical means used to render services are the same as those for receiving the services or are involved only in preparatory and auxiliary operations.
Source: taxathand.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.
