Facts
The SAirGroup, a holding company, was the group leader of the VAT group "Swissair". The group was dissolved in 2002. The Federal Tax Administration offset the group's input tax credits against federal loan claims. The SAirGroup in liquidation requested payment of the input tax credits.
The Federal Administrative Court overturned the appeal decision and ordered the Federal Tax Administration to conduct new proceedings, including all group members as of March 31, 2002, to determine who is entitled to which input tax credits.
The SAirGroup in liquidation requested the Federal Court to overturn the Federal Administrative Court's judgment and order the Federal Tax Administration to pay out the input tax credits.
Considerations
The Federal Court examined the question of who is entitled to the input tax credits of the former VAT group. It found that group taxation is a special type of subjective tax liability, where the group is treated as a single taxable person.
The court concluded that the input tax credits of the VAT group belong to the group as such. After the group's dissolution, the question arises as to who is entitled to receive the corresponding amounts. The court ruled that the dissolution of a VAT group is to be treated analogously to the regulation on simple partnerships.
The…