Court of Justice (First Chamber) 4 September 2019, C-71/18 (Skatteministeriet v KPC Herning.)

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In a dispute concerning the value added tax classification of the supply of land carrying an existing, operational warehouse, the Court of Justice of the European Union considered whether the parties' intention to wholly or partly demolish the structure for redevelopment rendered the transaction a taxable supply of building land. The Court ruled that under Articles 12(1)(a)–(b), 12(2)–(3), and 135(1)(j)–(k) of Council Directive 2006/112/EC, a supply of land supporting a building at the date of supply cannot be classified as a supply of building land where the transaction is economically independent of other services and does not form a single transaction with them, regardless of the parties' intention to demolish the building for new construction.AI