27/09/2020

VAT – the recycling industry

VAT – the recycling industry

Bachmann/Partners Law Firm won a landmark case at the Western High Court concerning the application of the profit margin scheme to the sale of parts removed from end-of-life vehicles. Prior to the judgement the Court of Justice of the European Union in a preliminary ruling ruled how the relevant provisions about the profit margin scheme in Council Directive 2006/112/EC were to be interpreted. The case has had material significance for the entire auto recycling industry and has ensured the industry’s competitiveness.

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