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A community of municipalities has enquired whether it can issue original duplicate water supply invoices to allow each municipality to deduct its proportional share. The DGT clarifies that if the community is not considered a taxable person, municipalities may claim deductions using duplicates or by applying European case law.
This ruling provides legal certainty for municipal groupings regarding VAT recovery, allowing individual municipalities to claim input tax even when the central community does not hold taxable status.
The tax team reviews your specific situation.
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