Press Release: Taxation: Germany referred to Court over its rules on VAT refunds for non-EU operators

The European Commission decided to refer Germany to the European Court of Justice regarding its rules on VAT refund applications which discriminate against non-EU operators.

Under German VAT legislation, taxable persons established outside the EU must personally sign the application form to be refunded the VAT charged on goods or services. Operators established in Germany or in the EU, on the other hand, can authorise a third person to sign or submit their refund form to recover VAT.

The Commission considers that the German requirement for third country operators goes against the principles of effectiveness, proportionality and equivalence laid down in EU law.

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