Where shareholders of a GmbH agreed that payments to the capital reserve are to be allocated on a shareholder-related basis, but in deviation the capital reserve is instead allocated to all shareholders in connection with a capital increase in accordance with their participation quotas, the waiver of an appropriate value adjustment by the shareholder who made the payments may constitute a free gift in favor of the co-shareholders.
In a referral from Portugal the ECJ was asked on the VAT situation in case of the supply of a subscription gift of small value in the form of tablets or smartphones to new subscribers of consumer protection magazines. In its opinion, the ECJ saw the circumstances of the case to suggest that the provision of a subscription bonus is an ancillary service connected with a main service because the bonus was only granted to increase the number of subscribers to the magazines and thus contributed to improve the profit situation of the plaintiff.
The Supreme Tax Court has held that the free gift of test equipment in order to sell the supplies needed to operate it is not free of VAT as a sample of goods.
