Let us inform you that according to the approved amendment of the Slovak Act No. 222/2004 Coll. on VAT (further on referred to as „VAT Act“), conditions for applying tax deduction will be changed (§49 sec. 9 of the VAT Act). The mentioned amendment will be valid from October 1, 2012.
Foreign person with business seat, place of business or fixed establishment in another member state of EU, registered for VAT purposes in the Slovak republic (hereinafter as „SR“) will not be able to apply the tax deduction from goods and services via tax return, except of tax deduction from goods and services used for supplies in SR, if the foreign person is the person liable to pay VAT.
The above mentioned means that goods and services acquired by foreign person in SR and used e.g. for deliveries of goods or services with no output VAT in SR, for deliveries of goods and services in SR with application of reverse charge mechanism etc., foreign person must request input VAT via tax refund by the local tax authority from another member state of EU.
Should you have any further questions, feel free to contact us.
