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Successive deliveries with only one intra-EU transport

The Court of Justice of the European Union confirmed the principle stating that when two successive deliveries relating the same good with only one IC transport are performed, the second transport is VAT exempted, even though the first seller has been not advised of the resale to a third liable company. (see decisions C-628/16 of 21 February 2018 « Kreuzmayr GmbH », and C-386/16 dated in 2017 « Toridas UAB »).

What conclusions can we draw ?

It is necessary to challenge the VAT exemption for any IC deliveries performed under delivery conditions such as departure terms and to provide with the transport documents, or, as a precaution, charge VAT of the departure country. This cautious approach finds now more echo with these 2 recent CJEU decisions.

For more information on this case law, please contact us.

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