In today’s judgment, the General Court of the EU held that Union law precludes the German practice whereby the taxpayer's good faith in fulfilling the conditions for the margin scheme is not taken into account already during the tax assessment procedure but rather considered later in separate proceedings for equitable relief.
The finance ministry has issued a decree on supplies from a fraudulent supplier to the effect that the input tax is deductible if the recipient did not know of the fraud and otherwise acted in good faith with due care.
