The German Federal Tax Court (BFH) issued a judgment in a case concerning the input value added tax (VAT) deduction when the invoice did not provide specific details about the time of the supply.
According to German VAT law, a proper invoice must contain details on the time of the supply of goods or other services. In this respect, an invoice that lists the calendar month is deemed to be sufficient (see § 31 (4) German VAT operating regulation (UStDV)).
According to the BFH in its judgment in case V R 18/17 (1 March 2018), information about the month at the time of supply can be inferred from the date of issuance of the invoice, if the circumstances of the transaction allow one to assume that the supply was effected in the month when the invoice was issued. The BFH followed this approach, and held that the tax authorities cannot limit themselves to merely examining the invoice but must also take into consideration additional information provided by the taxpayer. This approach is further supported by a judgment of the Court of Justice of the European Union (CJEU) in Barlis 06, C-516/14 (15 September 2016).
Recent VAT developments that may affect businesses in Germany include the following items:
Read a June 2018 report [PDF 312 KB] prepared by the KPMG member firm in Germany.
For more information, contact a tax professional in Germany:
Christoph Jünger | +49 69 9587-2036 | firstname.lastname@example.org
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