Intention to resell goods influences taxation of chain supplies.
In a situation where the second supply has taken place before the intra-Community transport occurs, the intra-Community transport cannot be ascribed to the first supply. The first supply is not eligible for the zero VAt-rate.
On 4 September 2017 on the pages of ‘Rzeczpospolita’ appeared a comment written by ATA Finance tax consultant Barbara Otrzonsek on a judgement of the European Court of Justice from 26 July 2017. The judgement refers to the case of Toridas vs Magalain concerning a matter of correct VAt taxation of supplies effected between three different entities (the so-called 'chain supplies').
We encourage you to read entire article, which is available in the digital edition of ‘Rzeczpospolita’.