The EU VAT Treatment of Vouchers (FM nr. 157) 2019/7.4.1:7.4.1 Using a good or service for a taxable supply

The EU VAT Treatment of Vouchers (FM nr. 157) 2019/7.4.1

7.4.1 Using a good or service for a taxable supply

Deze functie is alleen te gebruiken als je bent ingelogd.Deze functie is alleen te gebruiken als je bent ingelogd.Deze functie is alleen te gebruiken als je bent ingelogd.

I will first focus on the (onward) supply of the good (item (▲)) by B to C for consideration. This is a taxable supply, for which B will receive a consideration.

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This consideration will be a VAT inclusive amount and B will have to remit the VAT element from that consideration to the tax authorities. This means that the value of the good (item (▲)) as a supply consists of a VAT inclusive amount: otherwise it would be impossible for part of the payment by C for the good to B to consist of VAT.

This would be the same if B were to sell the good to a non-taxable person: the consideration paid by the non-taxable person will be a VAT-inclusive amount.

If, for example, B were to sell the good (item (▲)) to C for the same price as he paid, i.e. a VAT inclusive amount of Euro 80, B would have to remit Euro 13.33 VAT (i.e. 20%) to the Tax authorities. In the example, C is a taxable business that can deduct the same VAT amount.

Deze functie is alleen te gebruiken als je bent ingelogd.