Dutch Court confirms applicability of VAT exemption to fund management and administration services - PwC FS VAT Alert 2009/6

16 Juli 2009

Summary

The Dutch Court of Breda recently confirmed the applicability of the VAT exemption to fund management and administration services. Businesses operating under similar contracts should check the VAT treatment of fund management services, as this decision confirms the applicability of the exemption.

Full article

In this particular case, the taxpayer provided management services to several funds. The services included the management of immovable properties and liquid assets, as well as administrative services. The funds were regarded as special investment funds under Dutch VAT law, the management of which qualifies for VAT exemption. Under the management agreements in respect of the funds, services were separately identified and priced. The Court of Breda decided that all services provided by the taxpayer under the agreements are VAT exempt as the management of the collective investment funds.
 
This contribution was first published in PricewaterhouseCoopers’ FS VAT Alert of June 2009. Other contributions in this issue are:

  • EU - Developments regarding the proposed reforms in respect of the VAT treatment of financial and insurance services
  • France - Change in the VAT treatment of carbon credits trading
  • Switzerland - New Value Added Tax Law – impacts for financial sector
  • UK - Questions referred to ECJ on VAT treatment of payment processing: Axa UK plc
  • UK - VAT Tribunal applies ‘abuse’ principle: Lower Mill Estate Ltd
  • UK - High Court allows Taxpayer's appeal in IPT 'unbundling' case: Homeserve Membership Ltd
     

The full text edition is available upon request. Please contact Manon Ultee at manon.ultee@nl.pwc.com.

Source: Court of Breda, 6 May 2009, AWB 07/1062 (published on 3 June 2009).