France Court of Appeal of Nantes Issues Decision Clarifying VAT Refunds on Horse Racing Winnings

The French Court of Appeal of Nantes March 25 issued Decision No. 24NT02239, clarifying the rules for refunding VAT on race winnings. The taxpayer was a company primarily involved in the breeding and training of racehorses. The taxpayer sought a VAT refund, and reimbursement of a VAT credit that included VAT on racing winnings. The Court of Appeal of Nantes dismissed the taxpayer’s appeal from Administrative Court, finding that: 1) the General Tax Code provision in effect during the time at issue was incompatible with Article 2(1)(c) of EU Directive 2006/112/EC on the common system of VAT, which requires that ...