Court ruling could open way to €50m VAT windfall for companies

IRISH firms are in line for a potential €50 million cash windfall on VAT receipts.

However, everything will hinge on a ruling from the European Court of Justice and the figure could be substantially higher, according to Pascal Brennan of consultants Deloitte.

The key will be the outcome of a test case in the French Supreme Court. At the core of the case is the argument put by Societe Thermale D’Eugenie-Les-Bains that deposits paid by no shows should not be subject to VAT.