Keywords
Summary

Keywords

Tax provisions - Harmonisation of laws - Turnover taxes - Common system of value added tax - Taxable amount - Supply of goods - Consideration may consist of a supply of services - Condition - Supply of services directly linked to the delivery which can be expressed in monetary terms - Supply of bonuses in kind for the introduction of new customers - Purchase price and delivery costs of the bonuses paid by the supplier

(Council Directive 77/388, Art. 11A(1)(a))

Summary

$$The consideration for a supply of goods may consist of a supply of services and so constitute the taxable amount within the meaning of Article 11A(1)(a) of the Sixth Directive 77/388, if there is a direct link between the supply of goods and the supply of services and if the value of those services can be expressed in monetary terms. That value, which is a subjective value and not a value estimated according to objective standards, must be the value which the recipient of the supply of services attributes to the services which he seeks to obtain and correspond to the amount which he is prepared to spend to that end. All the expenses borne by the recipient to obtain the supply in question, including the costs of incidental services which are connected to the supply of the goods, make up the value of the supply of services.

Therefore, under Article 11A(1)(a), the taxable amount for the supply to a recipient of a bonus in kind constituting consideration for the introduction of a new customer includes, besides the purchase price of that bonus, the costs of delivery, when they are paid by the supplier of the bonus.

( see paras. 17, 22-25 and operative part )