Veleclair SA v Ministre du Budget, des Comptes publics et de la Réforme de l’Etat

In Veleclair SA v Ministre du Budget des Comptes publics et de la Réforme de l’Etat (CJEU Case C-414/10) the CJEU held that Article 17(2)(b) of the Sixth Directive ‘must be interpreted as not allowing a Member State to make the right to deduct value added tax on importation conditional upon the actual prior payment of that tax by the taxable person where that taxable person is also the holder of the right to deduction’.

Why it matters: The CJEU held that the relevant French legislation contravened the EC Sixth Directive.