Case C-105/14 Taricco and Others – CJEU states on the Italian limitation periods to apply charges in criminal tax proceedings in case of VAT fraud …
Case C-105/14 Taricco and Others – CJEU states on the Italian limitation periods to apply charges in criminal tax proceedings in case of VAT fraud
The Italian rule that provides the impossibility to apply criminal charges beyond the limitation period for tax crimes is incompatible with EU law.
The criminal Italian code allows that a tax offence should not be punished after the expiry of the limitation period even if it could be postponed for a short period in case of interruption.
In such system the tax offence should not have any countermeasure necessary to tackle VAT fraud by the application of dissuasive penalties.
The protection of the European Communities’ financial interests is ensured by article 325 TFEU, which provides that Member States must counter illegal activities affecting the financial interests of the European Union through effective deterrent measures as they take to counter fraud affecting their own financial interests.
Italy – Preliminary ruling on pro rata calculation method, case C-378/15 Mercedes
The regional tax Court of Rome requested a preliminary ruling on the right of deduction in case of prorata calculation whether a taxable person carries out both taxable and exempt supplies.
Under the Italian law the deductible amount is calculated applying a lump sum criteria without considering the correspondence between input VAT and output VAT related to the supplies carried out in the economic activity.
Â
Prof. Paolo Centore
