Case Law Note: Recent Trends In The Jurisprudence Of The Cjeu Regarding The Right To Deduct Input Tax

Abstract

The Court of Justice of the European Union has recently delivered interesting judgements on the right to deduct input tax in relation to taxable persons’ investments. In those judgements, the court raises insightful arguments that may serve as guidance in determining whether a taxable person is entitled to an input VAT deduction in relation to construction work (consisting of an extension of a municipal road which was the condition to allow for mining activities) regarding services from which third parties would also benefit and concerning consultancy services relating to an intended, although unrealized, acquisition of shares. VAT, deductions, input tax, expenditure, third parties, discontinued investments, case Mitteldeutsche, case Vos Aannemingen, case Sonaecom.