- Recovery of overcharged VAT has been a contentious issue in the EU
- Recent CJEU cases provide clarity on reclaiming overcharged VAT in B2C transactions
- In P GmbH case, the CJEU allowed recovery of overcharged VAT as customers were final consumers
- Pending case C-794/23 will clarify VAT recovery in transactions involving both B2B and B2C
- In Schütte case, farmer was unable to recover overcharged VAT from sellers due to statute of limitations
- CJEU addressed whether buyers can recover incorrectly charged VAT from tax authorities when sellers do not refund
Source: assets.kpmg.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.
