Denmark Tax Agency Clarifies VAT on Cross-Border Repairs

The Danish Customs and Tax Administration Nov. 6 posted online National Tax Court Decision No. SKM2025.626.LSR, clarifying the VAT treatment of cross-border repairs. The taxpayer, a Danish company, shipped worn aircraft parts from Denmark to Germany for repair, after which they were sent back to the taxpayer or to another EU country. The Tax Agency and Tax Board found that the taxpayer made taxable supplies for self-use under the VAT Act. On review, the National Tax Court found that: 1) the taxpayer’s shipment of the worn parts from Denmark to Germany wouldn’t be considered a taxable supply under a provision ...