ECJ has ruled on the right to be paid default interest on late refunds of VAT
Citeste varianta in limba romana

InfoTax no. 38, October 2013

In a recent case, the ECJ has held that a taxable person has the right to be paid default interest on late refunds of VAT by the tax authorities.

Such right may be exercised both where the tax authorities simply ignore taxable persons’ refund applications, and, according to the decision of the ECJ, in respect of a period during which administrative measures precluding the refund, which were subsequently annulled by a court ruling, were in force.

Along with the legal provisions laid down under domestic laws, the decision of the ECJ supplies taxable persons with solid grounds to solicit and pursue payment of default interest by the tax authorities in all cases where refunds of VAT are unreasonably delayed by the respective authorities.