Denmark Tax Agency Posts Decision Explaining VAT Exemption, Deduction Rules for Exported Goods

The Danish Customs and Tax Administration Nov. 4 posted online National Tax Court Decision No. SKM2024.549.LSR, clarifying the VAT rules on deductions and exemptions for goods exported and resold in non-EU countries. The taxpayer, a Danish retail company, bought luxury goods to be exported and resold in countries outside the EU. The taxpayer claimed VAT exemptions for the exports and VAT deductions for the purchases. The Tax Agency denied the taxpayer’s claims, finding that five of the sales were not VAT-exempt exports, and that two of the purchases were non-deductible. On appeal, the National Tax Court upheld the decision, finding ...