Denmark Tax Agency Clarifies VAT Treatment of Cross-Border Fuel Sales

The Danish Customs and Tax Administration May 6 posted online Tax Council Binding Answer No. SKM2025.237.SR, clarifying the VAT treatment of cross-border fuel sales. The taxpayer, a German company VAT-registered in Denmark, purchased fuel from gas stations and resold it to customers. The customers used fuel cards issued by the taxpayer to purchase fuel from the stations. The Tax Council found that: 1) the taxpayer constituted a commission agent that bought fuel from affiliated subcontractor gas stations and supplied it to consumers, not a VAT-exempt financial services provider; and 2) the taxpayer’s business activities were therefore subject to VAT under ...