The tax authorities may not refuse a taxpayer the right to deduct input VAT on the sole ground that the purchase invoices contain an error relating to the identification of the goods which are covered by the transactions. Penalizing the taxpayer’s failure to comply with formal conditions by refusing the right of deduction goes beyond what is necessary to achieve the objective of ensuring the correct application of the VAT neutrality principle. The authorities must also take into account the additional information and documents provided by that taxable person in order to assess whether the substantive conditions for the VAT deduction are met.
Furthermore, it is not necessary for the taxable person to issue an amending document to correct the mistake, nor to request corrective invoices from his supplier as long as he provides the tax authorities with the explanations and documents necessary to determine the actual purpose of the transactions (13/12/2018, C-491/18).
Your Tax Representative
View ProfileRead ArticlesRaluca Tutu
Raluca is a certified tax consultant and focuses on VAT, indirect and international tax advice, acting as lead tax counsel on various tax mandates for the company’s clients.
She holds a BA in Finance and Capital Markets from the Academy of Economic Studies in Bucharest and an LLM in International Tax from the Institute for Austrian and International Tax Law of Vienna University of Economics and Business. Raluca regularly publishes and contributes with tax related articles and expert views to various media channels. Raluca is author of the book “Value Added Tax, from Theory to Practice”, Published in December 2012 and she is the exclusive member for Romania of the European VAT Club.
