Alakor Gabonatermelő és Forgalmazó Kft v Nemzeti Adó- és Vámhivatal Észak-alföldi Regionális Adó Főigazgatósága

In the Hungarian case of Alakor Gabonatermelő és Forgalmazó Kft v Nemzeti Adó- és Vámhivatal Észak-alföldi Regionális Adó Főigazgatósága (CJEU Case C-191/12) the CJEU held that ‘the principle of repayment of taxes levied in a Member State in infringement of the rules of EU law must be interpreted as meaning that it does not preclude that State from refusing to repay part of the value added tax the deduction of which had been precluded by a national measure contrary to European Union law on the ground that that part of the tax had been subsided by aid granted to the taxable person and financed by the European Union and by that State provided that the economic burden relating to the refusal to deduct value added tax has been completely neutralised which is for the national court to determine’.

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