Order of the Court (Sixth Chamber) of 24 October 2019

Data

Court: Court of Justice

Case date: 24 oktober 2019

Verdict

Order of the Court (Sixth Chamber) of 24 October 2019 — Porr Építési Kft.

(Case C‑292/19)⁽¹⁾

"(Reference for a preliminary ruling - Article 99 of the Rules of Procedure of the Court of Justice - Common system of value added tax (VAT) - Taxable amount - Reduction - Directive 2006/112/EEC - Article 90 - Principle of fiscal neutrality - Debt that became irrecoverable following insolvency proceedings)"

Harmonisation of fiscal legislationCommon system of value added taxTaxable amountObligation to reduce in the event of total or partial non-paymentScopeTaxable person showing the definitely irrecoverable nature of the debt heldIncludedExceptionCase of non-payment coming within the option for Member States to derogate from that obligation

(Council Directive 2006/112, Art. 90)

(see paras 19, 22-26, 28, 29, operative part.)

Operative part

Article 90 of Council Directive 2006/112/EC of 28 November 2006 on the common system of value added tax must be interpreted as meaning that a Member State must allow the taxable amount for value added tax to be reduced where the taxable person can demonstrate that the debt owed to him by the debtor is definitely irrecoverable, which is a matter for the national court to ascertain, since that situation does not amount to a case of non-payment capable of coming under the derogation from the obligation to reduce the taxable amount of the value added tax provided for in Article 90(2) of the directive.