In chain transactions, the mere physical removal of goods from the Member State of departure is not, in itself, sufficient to ensure that the first supply qualifies for VAT exemption.
In its judgment of 9 September 2026 in Case T-614/25, the General Court of the European Union examined a triangular transaction in which goods were supplied by a supplier established in the first Member State to an intermediary identified for VAT purposes in the second Member State and subsequently resold to a customer located in the third Member State. The goods were transported directly from the initial supplier to the final customer.
Where two successive supplies involve a single intra-EU transport, that transport may be attributed to only one of them. It is therefore necessary to determine when the final customer acquired the right to dispose of the goods as owner.
If that right was transferred before the transport commenced, the transport cannot be attributed to the first supply, which must instead be treated as a domestic transaction subject to VAT in the Member State of departure.
For this purpose, the physical delivery of the goods is not decisive. What matters is whether the customer is able to make decisions affecting the legal status of the goods, including the decision to resell them. Other relevant factors include responsibility for arranging the transport, bearing the related costs, managing the logistical arrangements and exercising effective control over the movement of the goods.
Although the judgment concerns the rules applicable before Article 36a of the VAT Directive was introduced, it confirms the need to examine carefully the contractual and logistical relationships throughout the entire chain. In triangular transactions, the correct attribution of the transport determines which supply may qualify for VAT exemption and may also trigger VAT registration obligations for the intermediary.
