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27.08.2026

Tax & Financial Standards New Judgments of the ECJ For August 2026

Tax & Financial Standards New Judgments of the ECJ For August 2026

July

T-84/26 of 10 July 2026

Common system of Value added tax — Right to deduct — Obligations deemed necessary to ensure the correct collection of VAT and the prevention of fraud — Goods acquired by a taxable person before his VAT registration — National legislation which links the deduction of VAT to the availability of goods at the date of registration — Principle of tax neutrality

Key aspects of the decision in the economic range:

Right to deduct tax credit before the date of registration. The principles of fiscal neutrality and proportionality preclude national legislation which denies a taxable person the right to deduct input VAT on goods acquired and used to make taxable supplies before his registration solely on the ground that those goods were no longer available on the date of that belated registration, even though the relevant transactions had been declared. Administrative penalty.
Proceedings between P and a tax authority regarding the latter's refusal to recognise P's right to deduct the value added tax, paid on a received supply of goods, acquired before its VAT registration.