Transcript Mr-Saviour-Bezzinax - Malta Institute of Management

VAT Treatment of Cross Border
Supplies of Goods –
Application of Simplification
Procedures
Saviour Bezzina
15 October 2014
Agenda
2
1.
Cross Border Supplies – General Principles
2.
Chain Transactions/Triangulation
3.
Triangulation Simplification Procedure
4.
Application by EU Member States
3
1. Cross
Border Supplies –
General Principles
1. CBS – General Principles
4
Scenario 1- Normal Cross border Supply
Italy
Malta
Italian VAT registered supplier dispatching goods
from Italy to Malta with the customer being a
Maltese VAT registered taxable person.
1. CBS – General Principles
5
ICS by Italian Supplier
POS - Italy – Where the Transport Begins
(Item 1 Part 1 Third Schedule VATA/Art 32 EUVD)
VAT Treatment – Exempt from Italian VAT
(Item 3 Part 1 of the Fifth Schedule VATA /Art 138 EUVD)
Compliance – Italian VAT Return (Equivalent of our Box 1)
Recap statement (Article 262a of EUVD),
Intrastat Dispatch Form.
1. CBS – General Principles
6
ICA by Maltese Customer
POS - Malta – Where the Transport Ends
(Item 1 Part 3 Third Schedule VATA/Art 40 EUVD)
VAT Treatment – Reverse Charge Mechanism
(Art 20VATA/Art 200 EUVD)
Compliance – Maltese VAT Return (Boxes 3 and 9/10)
Intrastat Arrival Form.
1. CBS – General Principles
7
Article 40 EUVD
“The place of an intra-Community acquisition of goods shall be deemed to be the
place where dispatch or transport of the goods to the person acquiring them
ends. (Malta) ”
Item1 Part 3 Third Schedule VATA
“1. An intra-community acquisition takes place where the goods are when the
transport of the goods to the person acquiring them ends. (Malta) ”
1. CBS – General Principles
8
Scenario 2 (Security Net)
Italy
Spain
(MT VAT No quoted by client)
Italian VAT registered supplier dispatching goods
from Italy to Spain with the customer being a
Maltese VAT registered taxable person (not in
possession of a Spanish VAT number).
1. CBS – General Principles
9
ICS by Italian Supplier
POS - Italy – Where the Transport Begins
(Item 1 Part 1 Third Schedule VATA/Art 32 EUVD)
VAT Treatment – Exempt from Italian VAT
(Item 3 Part 1 of the Fifth Schedule VATA /Art 138 EUVD)
Compliance – Italian VAT Return (Equivalent of our Box 1)
Recap statement (Article 262a of EUVD)
Intrastat Dispatch Form.
1. CBS – General Principles
10
Article 41 EUVD
Without prejudice to Article 40, the place of an intra-Community acquisition of
goods as referred to in Article 2(1)(b)(i) shall be deemed to be within the territory
of the Member State which issued the VAT identification number (Malta) under
which the person acquiring the goods made the acquisition, unless the person
acquiring the goods establishes that VAT has been applied to that acquisition in
accordance with Article 40 (Triangulation Simplification).
If VAT is applied to the acquisition in accordance with the first paragraph (Malta)
and subsequently applied, pursuant to Article 40, to the acquisition in the Member
State in which dispatch or transport of the goods ends (Spain), the taxable amount
shall be reduced accordingly in the Member State which issued the VAT identification
number (Malta) under which the person acquiring the goods made the acquisition.
1. CBS – General Principles
11
Item 2.1 Part 3 Third Schedule VATA
2. (1) Without prejudice to item 1, when a taxable person makes an intracommunity
acquisition on which he is identified as registered under article 10 the
acquisition shall be deemed to take place in Malta unless the person acquiring the
goods establishes that the acquisition has been treated as taking place in another
Member State (Spain) and subject to value added tax in that State in terms of
provisions in force under the law of that State corresponding to item 1.
1. CBS – General Principles
12
ICA by Maltese Customer
POS – Malta or Spain? Both?
(Items 1&2 Part 3 Third Schedule VATA/Arts 40&41 EUVD)
VAT Treatment – Reverse Charge Mechanism
(Art 20VATA/Arts 168, 169 & 200 EUVD – Will Maltese VAT be refunded
under the RCM or not? See Joined Cases C-536/08 and C-539/08 (X and
Facet/Facet Trading)
Compliance – Maltese or Spanish VAT Ret? Both?
Will a Spanish VAT registration be triggered? What will be the implications of
non registration?
1. CBS – General Principles
13
Paras 35 – 36 Joined Cases C-536/08 and C539/08 (X and Facet/Facet Trading)
“It follows that Article 28b(A)(2) of the Sixth Directive (now Article 41 of the
EUVD) seeks, first, to ensure that the intra-Community acquisition in question is
subject to tax and, secondly, to prevent double taxation in respect of the same
acquisition.
However, as has been pointed out in paragraph 32 of this judgment, the
application of the corrective mechanism provided for in the second subparagraph
of Article 28b(A)(2) of the Sixth Directive (now Article 42 of the EUVD –
triangulation simplification procedure) is subject to the existence of the
cumulative conditions set out in the final subparagraph of that article.”
14
2.
Chain Transactions/
Triangulation
2. Chain Transactions/Triangulation
15
UK
(B)
Transport (Italy  Malta)
Italy
(A)
Malta
(C)
2. Chain Transactions/Triangulation
16
3 Member States (Italy, UK, Malta)
3 Taxable Persons (A, B, C)
2 Supplies (A B, B C)
1 Transport of goods (Italy  Malta)
In respect of which sale is the transport being effected A  B or B  C?
Relevant ECJ Cases
Case C-245/04 (EMAG)
Case C-430/09 (Euro Tyre Holding)
(see also Teleos C- 409/04 and VSTR 587/10)
2. Chain Transactions/Triangulation
17
Case C-430/09 (Euro Tyre Holding)
“When goods are the subject of two successive supplies between different
taxable persons acting as such, but of a single intra-Community transport, the
determination of the transaction to which that transport should be ascribed,
namely the first or second supply . . . . must be conducted in the light of an
overall assessment of all the circumstances of the case in order to establish which
of those two supplies fulfils all the conditions relating to an intra-Community
supply”
What about the rigid approach adopted by various MSs in making the exempt
ICS dependent on who organizes the IC transport?
2. Chain Transactions/Triangulation
18
Transport A  B (No Simplification)
A – EXEMPT ICS
POS – Italy (Art 32 EUVD)
VAT treatment – Exempt (Art 138 EUVD)
Compliance - Italian VAT Return, Recap, Intrastat
B - ICA in Malta + subsequent Domestic Supply
POS – Malta (Art 40 EUVD – ICA, Art 31 EUVD – Domestic Supply)
VAT treatment – Taxable (Art 2 EUVD – both ICA and Domestic Supply)
Compliance - Maltese VAT registration, Maltese VAT Return, Intrastat.
C - Domestic Purchase in Malta
2. Chain Transactions/Triangulation
19
Transport B  C (No Simplification)
A – Domestic Supply
POS – Italy (Art 31 EUVD)
VAT treatment – Taxable (Art 2 EUVD)
Compliance - Italian VAT Return
B – Domestic Purchase in Italy + subsequent ICS
POS – Italy (Art 31 EUVD – Domestic Purchase, Art 32 EUVD – ICS)
VAT treatment – Taxable (Art 2 EUVD – DS), Exempt (Art 138 EUVD - ICA)
Compliance - Italian VAT registration, Italian VAT Return, Intrastat.
C – ICA in Malta
2. Chain Transactions/Triangulation
20
Is it possible for B to avoid the additional Italian/ Maltese VAT registration
obligation on the basis that A makes an ICS in Italy and C makes an ICA?
i,.e given that there is only one movement of goods can the transaction be
treated as complete by just these 2 declarations (ICS by A and ICA by B)?
(i.e. can B be ignored?)
Article 23 states that:
“Member States shall take the measures necessary to ensure that a transaction
which would have been classed as a supply of goods if it had been carried out
within their territory by a taxable person acting as such is classed as an intraCommunity acquisition of goods.”
Hence it follows that B’s intervention cannot be ignored
21
3.
Triangulation
Simplification
Procedure
3. Triangulation Simplification
22
Benefits of the Triangulation Simplification procedure:
1.
B’s use of its UK VAT number does not create an ICA in the
UK.
2.
The ICA effected by B in Malta is exempt from Maltese VAT.
Hence it follows that B can effect an ICA in Malta and subsequent
domestic supply via his UK VAT Id No without suffering any VAT
leakage in the UK and without having to register for VAT in Malta
or Italy . . . . BUT – subject to certain conditions.
3. Triangulation Simplification
23
Article 42 EUVD (POS of ICA – Item 2 Part 3 Schedule 3 VATA):
“The first paragraph of Article 41 shall not apply (i.e. no ICA in the UK will be
created if a UK VAT No is used) and VAT shall be deemed to have been applied
to the intra-Community acquisition of goods in accordance with Article 40 (i.e
where the transport of goods ends - Malta) where the following conditions are
met:
(a) the person acquiring the goods establishes (B) that he has made the intraCommunity acquisition for the purposes of a subsequent supply, within the
territory of the Member State identified in accordance with Article 40 (Malta),
for which the person to whom the supply is made (C) has been designated in
accordance with Article 197 as liable for payment of VAT (Reverse Charge
Mechanism);
(b) the person acquiring the goods (B) has satisfied the obligations laid down in
Article 265 relating to submission of the recapitulative statement.”
3. Triangulation Simplification
24
Article 141 EUVD (ICA exemption in Malta - Item 1 Part 3 Sch 5 VATA):
“Each Member State (Malta) shall take specific measures to ensure that VAT is
not charged on the intra-Community acquisition of goods within its territory,
made in accordance with Article 40, where the following conditions are met:
(a) the acquisition of goods is made by a taxable person (B) who is not
established in the Member State concerned (Malta) but is identified for VAT
purposes in another Member State (UK);
(b) the acquisition of goods is made for the purposes of the subsequent supply of
those goods, in the Member State concerned (Malta) , by the taxable person
referred to in point (a) (B);
3. Triangulation Simplification
25
Article 141 EUVD (ICA exemption in Malta): cont.
(c) the goods thus acquired by the taxable person referred to in point (a) (B) are
directly dispatched or transported, from a Member State (Italy) other than that in
which he (B) is identified for VAT purposes (UK), to the person (C) for whom he is
to carry out the subsequent supply;
(d) the person to whom the subsequent supply is to be made (C) is another
taxable person, or a non-taxable legal person, who is identified for VAT
purposes in the Member State concerned;
(e) the person referred to in point (d) (C) has been designated in accordance with
Article 197 (Reverse Charge Mechanism) as liable for payment of the VAT due
on the supply carried out by the taxable person (B) who is not established in the
Member State in which the tax is due (Malta).”
3. Triangulation Simplification
26
How does it work? Conditions:
- 3 Different Member States (Italy, UK, Malta)
- 3 Taxable Persons established and VAT registered in the respective MSs
A established and VAT registered in Italy,
B established and VAT registered in UK
C established and VAT registered in Malta
- 2 Supplies (A B, B C)
- 1 Transport of goods (Italy  Malta)
made in respect of the first supply AB
3. Triangulation Simplification
27
For the triangulation simplification procedure to apply, transport must be in
respect of the supply from A to B, otherwise an Italian VAT registration
obligation would be created for B in Italy which cannot be avoided by any
simplification procedure
3. Triangulation Simplification
28
How does it work?
A – EXEMPT ICS in Italy
POS – Italy (Art 32 EUVD)
VAT treatment – Exempt (Art 138 EUVD)
Compliance - Italian VAT Return (equivalent of our Box 1),
- Recapitulative statement (quoting B’s UK VAT ID No),
- Intrastat Dispatch Form
3. Triangulation Simplification
29
How does it work?
B – EXEMPT ICA in Malta
POS – Malta (Art 42 EUVD)
VAT treatment – Exempt (Art 141 EUVD)
Compliance - UK VAT Return (equivalent of our Box 1),
- Recapitulative statement (quoting C’s MT VAT ID No and ticking
the Triangulation tick box),
- No need for Maltese VAT registration (Art 12? Theory vs practice)
3. Triangulation Simplification
30
How does it work?
B – Subsequent domestic Supply to C in Malta
POS – Malta (Art 31 EUVD)
VAT treatment – Taxable (Art 2 EUVD)
Compliance - Reverse charge Mechanism – onus shifted on C – hence no
Maltese VAT compliance obligations for B in Malta (Art 197 EUVD)
3. Triangulation Simplification
31
How does it work?
C – Domestic purchase from B in Malta
POS – Malta (Art 31 EUVD)
VAT treatment – Taxable (Art 2 EUVD)
Compliance - Reverse charge Mechanism – onus shifted on C – hence C to
account for Maltese VAT in the Maltese VAT Return under the Reverse charge
Mechanism (Art 197 EUVD)
3. Triangulation Simplification
32
Maltese VAT Legislation wording via – a – vis B’s activities in Malta and
the respective VAT registration Obligations
Article 10.4 – “A taxable person who is not established in Malta, who is not
registered under this article and who is liable for the payment of the tax on a
supply in terms of article 20 shall apply to be registered under this article by not
later than thirty days from the date of that supply.”
Article 20.2.b - The payment of the tax on a taxable supply made by a person
who is not established in Malta and who is not registered under article 10 to a
person established in Malta shall be a liability of the person to whom the supply is
made if the supply is (a) a supply of goods made to a taxable person registered under article 10 or
12 or to a non-taxable legal person registered under article 12 who is identified
as such on a tax invoice for that supply, where: . . .”
3. Triangulation Simplification
33
What about Article 12 VATA?
“12. (1) When a taxable person who is not registered under article 10 or a nontaxable legal person intends to make an intracommunity acquisition in Malta
and, on account of that acquisition, the value of his intra-community acquisitions
in Malta during the calendar year in which he makes that acquisition exceeds the
acquisitions threshold he shall apply to be registered under this article, unless he is
already so registered, by not later than the date of that acquisition.”
Article 214 (b) EUVD
“1. Member States shall take the measures necessary to ensure that the following
persons are identified by means of an individual number:
(b) every taxable person, or non-taxable legal person, who makes intraCommunity acquisitions of goods subject to VAT pursuant to Article 2(1)(b) and
every taxable person, or non-taxable legal person, who exercises the option
under Article 3(3) of making their intra-Community acquisitions subject to VAT;”
34
4.
Application by EU
Member States
4. Application by EU MSs
35
4.1 Can the Triangulation Simplification Procedure be applied if B (apart
from being established in the UK) has a fixed establishment in Malta?
B has a fixed
establishment in
Malta as well
(apart from UK)
4. Application by EU MSs
36
4.1 Can the Triangulation Simplification Procedure be applied if B (apart
from being established in the UK) has a fixed establishment in Malta?
Reminder: Art 141 (conditions for exempt ICA by B in Malta)
“(a) the acquisition of goods is made by a taxable person (B) who is not
established in the Member State concerned (Malta) but is identified for VAT
purposes in another Member State (UK);”
(e) the person referred to in point (d) (C) has been designated in accordance with
Article 197 (Reverse Charge Mechanism) as liable for payment of the VAT due
on the supply carried out by the taxable person (B) who is not established in the
Member State in which the tax is due (Malta).”
4. Application by EU MSs
37
4.1 Can the Triangulation Simplification Procedure be applied if B (apart
from being established in the UK) has a fixed establishment in Malta?
Art 197 (conditions for RCM to apply on subsequent domestic supply by B
“(c) the invoice issued by the taxable person (B) not established in the Member
State (Malta) of the person to whom (C) the goods are supplied is drawn up in
accordance with Sections 3 to 5 of Chapter 3.”
Art 192 (a) For the purposes of this Section (i.e. also for Art 197), a taxable
person who has a fixed establishment within the territory of the Member State
where the tax is due shall be regarded as a taxable person who is not established
within that Member State when the following conditions are met:
(a) he makes a taxable supply of goods or of services within the territory of that
Member State;
(b) an establishment which the supplier has within the territory of that Member
State does not intervene in that supply.
4. Application by EU MSs
38
4.1 Can the Triangulation Simplification Procedure be applied if B (apart
from being established in the UK) has a fixed establishment in Malta?
Art 2 VATA
“a taxable person is established in a country if he has established his economic
activity or has a fixed place of establishment from which he carries on that
economic activity in that country or, being a physical person who has not fixed his
economic activity or who does not have a fixed place of establishment in any
country, has a permanent address or usually resides in that country;”
Does it make a difference whether the establishment intervenes or not?
4. Application by EU MSs
39
4.1 Can the Triangulation Simplification Procedure be applied if B (apart
from being established in the UK) has a fixed establishment in Malta?
Austria
No
Germany
No*
Poland
No
Belgium
No
Greece
Yes*
Portugal
No
Bulgaria
Yes*
Hungary
No
Romania
No
Croatia
No
Ireland
No
Slovakia
Yes
Cyprus
No
Italy
No
Slovenia
Yes*
Czech Rep
Yes*
Latvia
No
Spain
No
Denmark
No*
Lithuania
No
Sweden
No
Estonia
No
Luxembourg
No
UK
Yes*
Finland
Yes*
Malta
Yes*
France
No
Netherlands
No
4. Application by EU MSs
40
4.1 Can the Triangulation Simplification Procedure be applied if B (apart
from being established in the UK) has a fixed establishment in Malta?
Additional Remarks:
Bulgaria, Finland, Germany, Greece, Malta, Slovenia – provided the fixed
establishment does not intervene in the supply
Denmark – provided B is VAT registered in the MS of arrival
Czech Republic, UK - provided the second party is not registered (or required
to be registered) for VAT purposes in MS of arrival.
4. Application by EU MSs
41
4.2 Can the Triangulation Simplification Procedure be applied if B (apart
from being VAT registered in the UK) is also VAT registered in Malta?
B is VAT
registered in
Malta as well
(apart from UK)
4. Application by EU MSs
42
4.2 Can the Triangulation Simplification Procedure be applied if B (apart
from being VAT registered in the UK) is also VAT registered in Malta?
Reminder: Art 141 (conditions for exempt ICA by B in Malta)
“(a) the acquisition of goods is made by a taxable person (B) who is not
established in the Member State concerned (Malta) but is identified for VAT
purposes in another Member State (UK & Malta);”
4. Application by EU MSs
43
4.2 Can the Triangulation Simplification Procedure be applied if B (apart
from being VAT registered in the UK) is also VAT registered in Malta?
Austria
No*
Germany
No
Poland
Yes
Belgium
No
Greece
Yes*
Portugal
No
Bulgaria
No
Hungary
No
Romania
Yes
Croatia
No
Ireland
No
Slovakia
No
Cyprus
No
Italy
Yes*
Slovenia
Yes
Czech Rep
No
Latvia
No
Spain
No
Denmark
No
Lithuania
No
Sweden
Yes*
Estonia
Yes*
Luxembourg
No
UK
No
Finland
Yes*
Malta
No*
France
No
Netherlands
Yes
4. Application by EU MSs
44
4.2 Can the Triangulation Simplification Procedure be applied if B (apart
from being VAT registered in the UK) is also VAT registered in Malta?
Additional Remarks:
Austria – A mere registration for input tax deduction – yes simplification applies
Estonia – No in theory, Yes in practice
Finland, Greece – If it intervenes No, If it does not intervene yes
Italy – Based on interpretation of ministerial circular (No.13/1994)
Malta – Article 10 Simplification No, Article 12 Simplification Yes
Sweden – as long as it is not established in the MS of arrival
4. Application by EU MSs
45
4.3 Can the Triangulation Simplification Procedure be applied if B (apart
from being VAT registered in the UK) is also VAT registered in Italy?
B is VAT
registered in
Italy as well
(apart from UK)
4. Application by EU MSs
46
4.3 Can the Triangulation Simplification Procedure be applied if B (apart
from being VAT registered in the UK) is also VAT registered in Italy?
Reminder: Art 141 (conditions for exempt ICA by B in Malta)
(c) the goods thus acquired by the taxable person referred to in point (a) (B) are
directly dispatched or transported, from a Member State (Italy) other than that in
which he (B) is identified for VAT purposes (UK only or UK & Italy?), to the
person (C) for whom he is to carry out the subsequent supply;
4. Application by EU MSs
47
4.3 Can the Triangulation Simplification Procedure be applied if B (apart
from being VAT registered in the UK) is also VAT registered in Italy?
Austria
Yes
Germany
No
Poland
Yes
Belgium
Yes
Greece
Yes*
Portugal
Yes*
Bulgaria
No
Hungary
No
Romania
Yes
Croatia
No
Ireland
Yes
Slovakia
Yes
Cyprus
No
Italy
No
Slovenia
No
Czech Rep
Yes
Latvia
Yes
Spain
No
Denmark
No
Lithuania
No
Sweden
No
Estonia
Yes
Luxembourg
Yes
UK
Yes*
Finland
Yes
Malta
Yes*
France
No*
Netherlands
No
4. Application by EU MSs
48
4.3 Can the Triangulation Simplification Procedure be applied if B (apart
from being VAT registered in the UK) is also VAT registered in Italy?
Additional Remarks:
France – In theory Yes, in practice No
Greece, Malta, Portugal (All) - provided that three VAT Nos (i.e. from three
different MSs) are used, i.e. as long as the IT VAT No of B does not intervene in
the transaction
UK – There is a discrepancy between UK tax authorities' published guidance
and the UK legislation in that the guidance seeks to disallow triangulation where
two of the parties are registered for VAT in the Member State of dispatch.
However, we do not consider that the UK legislation provides any support for
this
4. Application by EU MSs
49
4.4 Can the Triangulation Simplification Procedure be applied if C (apart
from being VAT registered in Malta) is also VAT registered in Italy?
C is VAT
registered in
Italy as well
(apart from
Malta)
4. Application by EU MSs
50
4.4 Can the Triangulation Simplification Procedure be applied if C (apart
from being VAT registered in Malta) is also VAT registered in Italy?
Austria
Yes
Germany
No
Poland
Yes
Belgium
Yes
Greece
Yes*
Portugal
Yes*
Bulgaria
Yes
Hungary
Yes
Romania
Yes
Croatia
Yes
Ireland
Yes
Slovakia
Yes
Cyprus
No
Italy
No
Slovenia
Yes
Czech Rep
Yes
Latvia
Yes
Spain
No
Denmark
Yes
Lithuania
Yes
Sweden
No
Estonia
Yes
Luxembourg
Yes
UK
Yes*
Finland
Yes
Malta
Yes
France
Yes
Netherlands
Yes
4. Application by EU MSs
51
4.4 Can the Triangulation Simplification Procedure be applied if C (apart
from being VAT registered in Malta) is also VAT registered in Italy?
Additional Remarks:
Greece, Portugal (All) - provided that three VAT Nos (i.e. from three different
MSs) are used, i.e. as long as the IT VAT No of C does not intervene in the
transaction
UK – There is a discrepancy between UK tax authorities' published guidance
and the UK legislation in that the guidance seeks to disallow triangulation where
two of the parties are registered for VAT in the Member State of dispatch.
However, we do not consider that the UK legislation provides any support for
this
4. Application by EU MSs
52
4.5 Can the Triangulation Simplification Procedure be applied if B (apart
from being established in the UK) is also established in Italy?
B is established
in Italy as well
(apart from UK)
4. Application by EU MSs
53
4.5 Can the Triangulation Simplification Procedure be applied if B (apart
from being established in the UK) is also established in Italy?
Austria
Yes
Germany
Yes
Poland
Yes
Belgium
Yes
Greece
Yes
Portugal
Yes
Bulgaria
No
Hungary
No
Romania
Yes
Croatia
No
Ireland
Yes
Slovakia
Yes
Cyprus
Yes
Italy
Yes
Slovenia
No
Czech Rep
Yes
Latvia
No
Spain
No
Denmark
No
Lithuania
Yes
Sweden
No
Estonia
Yes
Luxembourg
Yes
UK
No
Finland
Yes
Malta
Yes
France
No
Netherlands
Yes
4. Application by EU MSs
54
4.5 Can the Triangulation Simplification Procedure be applied if B (apart
from being established in the UK) is also established in Italy?
Additional Remarks:
(ALL) – assuming B uses his UK VAT Id No
Latvia – till 31/12/2012 Yes, From 01/01/2013 No (potentially arguable)
4. Application by EU MSs
55
4.6 Can the Triangulation Simplification Procedure be applied if transport
is made in relation to the second supply B C?
4. Application by EU MSs
56
4.6 Can the Triangulation Simplification Procedure be applied if transport
is made in relation to the second supply B C?
Austria
No
Germany
No
Poland
Yes*
Belgium
No
Greece
No
Portugal
No
Bulgaria
Yes*
Hungary
No
Romania
No
Croatia
No
Ireland
Yes
Slovakia
Yes*
Cyprus
No
Italy
Yes
Slovenia
Yes*
Czech Rep
No
Latvia
Yes
Spain
No
Denmark
Yes*
Lithuania
No
Sweden
Yes
Estonia
No
Luxembourg
No
UK
Yes
Finland
No
Malta
No
France
No
Netherlands
No
4. Application by EU MSs
57
4.6 Can the Triangulation Simplification Procedure be applied if transport
is made in relation to the second supply B C?
Additional Remarks
Bulgaria – It should be checked whether the tax authorities in Italy would not
regard the transaction between A and B as a local supply in Italy
Denmark – In principle no, but in practice it will most likely not be a problem.
Poland, Slovakia and Slovenia – provided that the transport is not made by
C or on C's behalf.
58
Thank You
Saviour Bezzina
EY Malta
[email protected]