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VAT fraud and transport of goods

In application of article 28, 4, of the 6th Directive of 17 May 1977, further reproduced in article 138 of the Directive 2006/112/EC of the Council of 28 November 2006, intra-community deliveries of goods are exempt from VAT.

Numerous fraudulent VAT practices have however resulted from this simple text, known as «carousel» frauds, which affect the deliveries of all sorts of goods, but in particular the trade in computer parts. In this type of fraud, an operator A established for example in Austria, sells goods exempt from tax to operator B established in Belgium. The latter is the fraudulent tax contributor who does not declare the purchase and resells the products invoicing the VAT that he collects, without paying it to the tax administration of his State. The third operator C, established in Cyprus, who purchases the goods deducts the upstream tax or requests its reimbursement, then resells the said goods to a fourth operator D established in Denmark.

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A propos Thierry Granturco

Thierry Granturco est avocat aux Barreaux de Paris et de Bruxelles, spécialiste de droit du sport. Il est actif dans le milieu du football professionnel depuis plus de 20 ans après avoir lui-même joué à haut niveau à l'Olympique Lyonnais (OL).

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