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A consultant proposed a business model to facilitate VAT refunds for non-resident travellers using power of attorney and resale contracts. The DGT ruled that, for tax purposes, there is only a single supply of goods from the supplier to the traveller and that refunds must follow established legal procedures.
This ruling clarifies that intermediary business models involving the resale of goods to claim VAT refunds must comply with existing tax regulations, ensuring that the direct relationship between the supplier and the traveller is maintained for tax purposes.
The tax team reviews your specific situation.
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