News

/ News
Tax & Financial Standards New Judgments of the ECJ For September 2021

27.09.2021

Tax & Financial Standards New Judgments of the ECJ For September 2021

Tax & Financial Standards New Judgments of the ECJ For September 2021

Tax&Financial Standards (T&FSt) – International Financial Reporting Standards, Date or entry into force: 1.01.2021 (consolidated version), in 4 languages - Bulgarian, English, German and French

New judgments

С-337/20 of 2 September 2021

Payment services in the internal market - Payment service user - Notification of unauthorized payment transactions - Liability of the payment service provider for the same operations - Liability brought by the guarantor of a payment service user - Concepts of 'payment service user', ' "full harmonization" and "comprehensive harmonization"

Key aspects of the decision in the economic range:

Rights and obligations of the payment service user and the payment service provider. Late notification of unauthorized payment transactions - Liability of the payment service provider towards the payment service user governed only by Directive 2007/64 / EC. Liability of the payment service provider towards a third party, such as a surety. Application of a liability regime provided for by national law.

Notions of "payment service user", "full harmonization" and "comprehensive harmonization".

Proceedings opposing D, as manager of the company G, and L, as joint surety of this company, to C concerning the questioning of the contractual liability of the latter for breach of its duty vigilance.

С-790/19 of 2 September 2021

Prevention of the use of the financial system for the purposes of money laundering and terrorist financing - Offence of money laundering – Laundering by the perpetrator of the predicate offence (‘self-laundering’) - Right not to be tried or punished twice

Key aspects of the decision in the economic range:

Offence of money laundering. Self-laundering. Active subject of the offence. The principle non bis in idem. Whether the perpetrator of a predicate offence from which the laundered money originates may also be the perpetrator of the offence of money laundering. National legislation which provides that the offence of money laundering may be committed by the perpetrator of the criminal activity which generated the money in question.

Criminal proceedings brought against L and M, who are being prosecuted for having committed and participated in, respectively, the offence of money laundering.

С-932/19 of 2 September 2021

Consumer protection — Unfair terms — Loan denominated in foreign currency — Difference between the exchange rate applicable when the loaned funds are released and when they are repaid — Member State legislation providing for the replacement of an unfair term by a provision of national law — Possibility for the national court to invalidate the entire agreement containing the unfair term — Possible consideration of the protection offered by that legislation and of the consumer’s wishes regarding its application

Key aspects of the decision in the economic range:

National legislation which, in relation to loan agreements concluded with a consumer, renders void a term relating to the exchange difference that is regarded as unfair and requires the national court with jurisdiction to replace that term with a provision of national law imposing the use of an official exchange rate, without providing for the possibility, for that court, to grant the application of the consumer concerned for the annulment of the loan agreement in its entirety, even if that court considers that the continuation of that agreement would be contrary to the interests of the consumer.

Proceedings concerning an application for cancellation of loan agreements based on the unfairness of certain terms in those agreements.

Joined Cases С-33/20, C-155/20 and C-187/20 of 9 September 2021

Consumer credit - Information that must appear in the contract — Obligation to indicate the type of loan, the term of the loan agreement, the interest rate for late payments and the mechanism for regulating the interest rate for overdue payments applicable at the time of the conclusion of the agreement — Change in the interest rate for late payments according to the change in the key interest rate set by the central bank of a Member State - Compensation due in case of early repayment of the loan - Obligation to specify the method of calculating the change in the interest rate for late payments and the indemnity - No obligation to mention the possibilities for terminating the credit agreement, which are provided for by national law but not by Directive 2008/48 - Right of withdrawal exercised by the consumer on the grounds of lack of mandatory information - Prohibition of the creditor to object to an extinguished right or an abuse of right

Key aspects of the decision in the economic range:

Consumer protection. The credit agreement must state clearly and concisely that there is a "linked credit agreement" and that this agreement is concluded for a fixed period. Requiring the "linked credit agreement" to state that the consumer is released from his obligation to pay the sale price up to the amount paid and that the seller is obliged to deliver the purchased goods to him if the price has been paid in full. When calculating the indemnity due on early repayment of the loan, the credit agreement must describe specifically and easily for the average consumer the method of calculating this indemnity so that this consumer can determine the amount of the indemnity due on early repayment on the basis of the information presented in the said contract. Requirement for the credit agreement to specify all cases in which the parties to the credit agreement are granted the right to terminate not by Directive 2008/48/EC but only by national law. The creditor should object to the extinguished right when the consumer exercises his right of withdrawal as soon as part of the mandatory information provided is neither specified in the contract nor duly provided and this consumer was unaware of the existence of his right of withdrawal. Simply referring in the credit agreement to an online rulebook or to another act or document subject to the conditions for out-of-court dispute resolution and redress procedures is not sufficient.

Disputes concerning the validity of the waiver of credit agreements concluded with banks.

С-107/19 of 9 September 2021

Social policy — Break during which the employee must remain ready to respond to a call-out within a two-minute time limit — Primacy of EU law — Concepts of ‘working time’ and ‘rest period’

Key aspects of the decision in the economic range:

Organisation of working time. A worker’s break, during which he or she must be available to his or her employer to be called out within two minutes. Obligation to uphold the legal rulings of a higher court that do not comply with EU law.

Concepts of ‘working time’ and ‘rest period’.

Proceedings between X and D concerning D’s refusal to pay X a sum plus default interest as remuneration for breaks taken during his professional activity.

Joined Cases С-208/20, and C-256/20 of 9 September 2021

Cooperation between the courts of the Member States in the taking of evidence in civil and commercial matters - Outstanding debts – Legal decisions – Orders for payment – Service – Debtor residing at an unknown address in a Member State other than that of the court seised

Key aspects of the decision in the economic range:

Situation where the court of a Member State seeks the address, in another Member State, of a person on whom a judicial decision is to be served. The court of a Member State is allowed to issue an order for payment against a debtor and, as the case may be, the order from becoming enforceable, or as obliging the court to annul, of its own motion, that order where it appears probable or certain that that debtor is not habitually resident within the jurisdiction of that court.

Proceedings between, on the one hand, in Case C‑208/20, ‘Toplofikatsia’, ‘CHEZ’ and EOOD and, in Case C‑256/20, Toplofikatsia and, on the other hand, natural persons who were not parties to the proceedings, concerning the recovery of outstanding debts.

С-294/20 of 9 September 2021

Conditions for VAT refund - Taxable persons not established in the country - Refusal to refund the VAT paid - Documents proving the right to a refund - Failure to submit supporting documents within the specified time limits

Key aspects of the decision in the economic range:

An application for a VAT refund shall be rejected where the taxable person has not submitted to the competent tax administration, even at its request, all the documents and information necessary to prove his right to a VAT refund. The fact that a taxable person requesting a refund of VAT does not submit in the course of the administrative proceedings the documents requested by the tax administration, but does so voluntarily in the course of the subsequent proceedings, does not constitute an abuse of rights.

Dispute concerning the refusal to reimburse the value added tax charged by the company.

С-406/20 of 9 September 2021

Value added tax - Possibility for Member States to apply a reduced rate of VAT to certain supplies of goods and services - Entrance tickets to amusement parks and fairs - Principle of tax neutrality - Supply of services by persons operating permanent establishments , and by persons engaged in mobile amusement sites - Perspective of the average consumer - Forensic science - The terms 'fairs' and 'amusement parks'

Key aspects of the decision in the economic range:

Services for which reduced VAT rates can be applied. National legislation under which, on the one hand, the supply of services by persons operating on mobile amusement sites and, on the other hand, the supply of services by persons operating on permanent amusement sites in the form of amusement parks is taxed with different VAT rates - one reduced and the other standard.

The terms "fairs" and "amusement parks".

Proceedings concerning the rate of value added tax applicable to the tickets of an amusement park operated by a company.

С-449/20 of 9 September 2021

Income tax — Dividends attached to listed shares — Tax advantage reserved for dividends attached to shares listed on the national stock exchange — Difference in treatment — Objective distinguishing criterion — Objectively comparable situations — Justification — Objective of a purely economic nature

Key aspects of the decision in the economic range:

Free movement of capital. Tax practice according to which, for the purposes of determining the basis of assessment of a taxpayer’s income tax, dividends attached to shares listed on the stock exchange of that Member State account for only 50% of their amount, whereas dividends attached to shares listed on the stock exchanges of other Member States are taken into account in full.

Proceedings concerning the partial deductibility of dividends attached to listed shares for the purposes of determining the basis of assessment for income tax.

С-546/18 of 9 September 2021

Company law — Takeover bids — Mandatory takeover bid — Final decision finding a breach of the obligation to submit a takeover bid — Binding effect of this decision in administrative proceedings initiated by the same body for the imposition of sanctions — Right of defence — Charter of Fundamental Rights of the European Union — Right to remain silent — Presumption of innocence — Access to an independent and impartial tribunal

Key aspects of the decision in the economic range:

Procedural rights that EU law provides for persons who were not parties to the ‘first round’ of preliminary proceedings, but who may face, due to their respective positions within the corporate structures of the companies that were the parties in the first proceedings, sanctions imposed on them in the ‘second round’ of administrative proceedings. Practice of a Member State by virtue of which a final decision for establishment of an infringement has a binding effect in subsequent proceedings for the imposition of an administrative penalty for an infringement as far as the parties concerned by those proceedings have not been able, in the previous infringement procedure, to exercise their rights of defense in full.

Proceedings concerning the legality of the penalties imposed for non-compliance with the obligation to submit a takeover bid.

С-605/18 of 9 September 2021

Securities, admitted for trading on a regulated market located or operating in a Member State — Obligation of transparency — Notification of ‘major holdings’, acquired in the capital of companies by „persons acting in concert“ — Concepts of „persons acting in concert“, „Requirements more stringent“ and „provisions adopted in relation to takeover bids“

Key aspects of the decision in the economic range:

Transparency requirements in relation to securities admitted to trading on a regulated market situated or operating within a Member State. Legislation of the Member State which imposes on shareholders strict requirements for notification of major holdings.

Concepts of „persons acting in concert“, „Requirements more stringent“ and „provisions adopted in relation to takeover bids“.

Proceedings between A, P and G and the Financial Markets Authority concerning the legality of the administrative sanctions imposed on them by that body for breach of the obligation to notify significant holdings in the securities of an issuer whose shares are admitted to trading on a regulated market, situated in Austria.

С-855/19 of 9 September 2021

Chargeability of VAT — Intra-Community acquisition of motor fuels — Obligation to make early payment of VAT — Correct collection of VAT and prevention of evasion — Discretion of the Member States

Key aspects of the decision in the economic range:

An obligation to make early payment of the value added tax on intra-Community acquisitions of motor fuels, which was introduced with a view to combatting fraud. Interim payment relating to non-chargeable VAT. A provision of national law which imposes an obligation to pay VAT on the intra-Community acquisition of motor fuels before that VAT becomes chargeable.

Proceedings concerning an obligation to make early payment of value added tax on intra-Community acquisitions of motor fuel.

С-21/20 of 16 September 2021

Common system of value added tax - Delivery of services for remuneration - Exclusion of audiovisual media services that are offered to viewers and are funded by a public subsidy and for which viewers do not pay a fee - Right to deduct - A taxable person who carries out both taxable transactions and transactions which do not fall within the scope of VAT

Key aspects of the decision in the economic range:

Methods and criteria for allocating the amount of VAT paid on supplies received between taxable transactions and transactions not falling within the scope of VAT. Television broadcasting financed partly from the State budget and partly from commercial activities. Right to deduct tax due. The activity of a national public television provider for the provision of audio-visual media services to viewers, which is financed by the state in the form of a subsidy and for which viewers do not pay fees for television broadcasting, does not constitute a service provided for consideration.

Dispute over the scope of BNT's right to deduct value added tax.

С-410/19 of 16 September 2021

Self-employed commercial agents — Supply of computer software to customers by electronic means — Grant of a perpetual licence for use — Concepts of „commercial agent“ and „sale of goods“

Key aspects of the decision in the economic range:

A commercial agent as a self-employed intermediary. Where a copy of computer software is supplied to a principal’s customers electronically, and not on any tangible medium, does it constitute “goods”? Supply of computer software to a principal’s customers by electronic means accompanied by the grant of a perpetual licence.

Concepts of „commercial agent“ and „sale of goods“.

Proceedings between S and C concerning the payment of compensation following the termination of the agreement between those two companies.

© Апис Европа АД

Представяне на "АПИС ФИНАНСИ" 


EuroCases

340VAT excl.

for account per year

For full pricelist see here

Buy now Free trial
TAX & FINANCIAL STANDARDS

240VAT excl.

for account per year

For full pricelist see here 

Buy now Free trial