Gemeente Borsele (CJUE, 12 May 2016, case C-520/14)

A municipality which organises school transport using third-party transport companies, and which received contributions, from the parents of (only) certain students, representing merely 3% of the actual transport costs, was found not to be carrying out an economic activity.

According to the Court, the supply of services for consideration, which was first of all considered to have been present in the instant case, is not sufficient for there to be an economic activity.

The Court specified, however, that the existence of an economic activity required the presence of a transaction within the scope of VAT.
In our view, the case can largely be limited to its facts, the Court having been at pains to set out in great detail the conditions of eligibility to benefit from school transport aid.

Michel Guichard

Michel Guichard, Partner, leads the Indirect Tax activity. With more than 30 years’ experience in International and French Tax law, he advises his clients on indirect tax matters. Michel is […]

Odile Courjon

Odile Courjon, Partner, has developed a strong expertise in indirect tax issues (VAT, wage taxes, excise taxes, export control and customs) in France and overseas. She advises her clients in […]

Bertrand Jeannin

Bertrand Jeannin, Partner, supplies strategic and technical advice to French and foreign multinational groups in all aspects of their VAT and customs policies. Major focuses of Bertrand’s input involve the […]

William Stemmer

William Stemmer, Partner, has more than 15 years’ experience in Indirect Tax matters. William particularly specializes in the real estate and financial sectors. William is a lecturer at the University […]

Nicolas Kazandjian

Barrister registered with the Hauts-de-Seine Bar, he started my career in the indirect tax service line of Deloitte Taj in 1999. My current position is Director. My area of expertise […]

Anne Gerometta

Anne, Director, has been advising companies on indirect tax issues for more than 15 years. Anne has developed a specific expertise on the manufacturing sector (VAT, customs and Export Control) […]

Vanessa Irigoyen

Vanessa has joined Deloitte France in 2002 and she is the partner leading the French indirect Tax Practice. For more than 18 years, she advises multinational companies on their global […]