In two cases (C-422/17 Scarpa Travel and C-552/17 Alpenchalets Resorts), the Advocate General of the Court of Justice of the European Union (CoJ) defines the taxation of services when the special regime for travel services is applied.
In case C-249/17 – Ryanair, the Court of Justice of the European Union (“CJEU”) addressed the possibility of claiming the deduction of costs relating to the acquisition and holding of equity investments. Ryanair assumed that, following the acquisition of equity investments, it would provide the subsidiary with management services. However, the acquisition ultimately failed to materialise. The CJEU recognised Ryanair as fully eligible for the tax deduction claim; however, we believe that it arrived at the conclusion based on certain assumptions that it fails to mention in its ruling at all. Therefore, the interpretation of the ruling may significantly vary in practice.
The article is part of dReport – November 2018, Tax news; Grants and investment Incentives.
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