VATcodexEU VAT case law · Court of Justice and General Court

Article 188 Directive 2006/112/EC

Adjustment of deductions

Title X · Deductions › Chapter 5 · Adjustment of deductions

Open in the compendium8 cases ↓

Text of Article 188

1.If supplied during the adjustment period, capital goods shall be treated as if they had been applied to an economic activity of the taxable person up until expiry of the adjustment period.

The economic activity shall be presumed to be fully taxed in cases where the supply of the capital goods is taxed.

The economic activity shall be presumed to be fully exempt in cases where the supply of the capital goods is exempt.

2.The adjustment provided for in paragraph 1 shall be made only once in respect of all the time covered by the adjustment period that remains to run. However, where the supply of capital goods is exempt, Member States may waive the requirement for adjustment in so far as the purchaser is a taxable person using the capital goods in question solely for transactions in respect of which VAT is deductible.

Consolidated version on EUR-Lex (CELEX 02006L0112-20250414). © European Union. Only the Official Journal is authentic.

Case law on Article 188: 8 cases

Judgments, orders and Advocate General opinions of the Court of Justice and the General Court that cite Article 188 of Directive 2006/112/EC, most recent first.

  1. T-397/25 A&P Deco Judgment · 2 September 2026 · Netherlands
  2. C-56/21 ARVI ir ko Opinion · 24 March 2022 · Lithuania · cites Article 188(1), (2)
  3. C-248/20 Skellefteå Industrihus Order · 18 May 2021 · Sweden
  4. C-787/18 Sögård Fastigheter Judgment · 26 November 2020 · Sweden · cites Article 188(2)
  5. C-791/18 Stichting Schoonzicht Opinion · 3 March 2020 · Netherlands
  6. C-201/18 Mydibel Judgment · 27 March 2019 · Belgium · cites Article 188(1)
  7. C-532/16 SEB bankas Judgment · 11 April 2018 · Lithuania
  8. C-234/11 TETS Haskovo Opinion · 14 June 2012 · Bulgaria · cites Article 188(1)