Since 1 January 2010, a new legal framework has been available to businesses established within the European Union, for obtaining a refund of the VAT they pay in Member States where they are not established. In contrast, the procedure for reimbursing VAT to businesses which are not established within the European Union remains unchanged. It is still governed by the Thirteenth Council Directive (86/560/CEE of 17 November 1986).
When compared with the Eighth VAT Directive, which it replaces, Directive 2008/9 of 12 February 2008 actually introduces relatively few changes in the basic conditions of entitlement to a refund. On the other hand, it incorporates the clarifications given by the European Court of Justice (ECJ), particularly with regard to how the rights of deduction of partially exempt businesses are to be determined (Case C-136/99 Monte dei Paschi di Siena, ECJ 13 July 2000).
As shown in this CMS Tax Connect, the procedure has a more definite framework and the deadlines imposed on claimant businesses and on States have been harmonised.
Read the detailed overview proposed for 15 European countries:
Austria, Belgium, Bulgaria, Czech Republic, France, Germany, Hungary,Italy, The Netherlands, Poland, Portugal, Slovakia, Slovenia, Spain, United Kingdom.