On 19/12/2018, the ECJ ruled on VAT reference C-17/18*.

The Court stated that:

  • ‘transfer of a totality of assets or part thereof’ must be interpreted as not covering the transaction by which an immovable property which was used for commercial purposes is let with all capital equipment and inventory items necessary for that use, even if the lessee pursues the activity of the lessor under the same name;
  • a lease contract for an immovable property which was used for commercial purposes and for all capital equipment and inventory items necessary for that use constitutes a single supply in which the letting of the immovable property is the principal supply.

 

*All rulings of the ECJ should be read in the concrete context.