International - VAT on Intercompany Supplies: Why Skandia Is a Big Deal
- J. Zutt
- Derivatives & Financial Instruments, 2014 (Volume 16), No 6
- 7 November 2014
In the recently issued decision in the Skandia case, the European Court of Justice ruled on the VAT treatment of services rendered within a VAT group. Following this ruling, potentially all intercompany cross-border transactions of a multinational financial institution could be in scope of VAT. The author presents and analyses a case study to illustrate the possible effects for European VAT groups.