In SC Westside Unicat SRL (Case C‑532/22) (23 November 2023) the CJEU held that a Romanian company operating a video recording studio that provided erotic webcam content to a US company was not caught by a special place of supply rule in Article 53 of the VAT Directive.
Westside Unicat (WU) was a Romanian company that operated a video recording studio located in Romania. This studio created erotic digital content which was made available to a US company called StreamRay USA Inc. (StreamRay). StreamRay in turn live streamed the content on its website to consumers.
The Romanian tax authorities argued that WU’s services were subject to VAT in Romania by virtue of Article 53 of the VAT Directive. Under Article 53 B2B supplies of admission to cultural artistic sporting scientific educational and entertainment events and supplies of ancillary services related to admission would be subject to...
