Tax treatment and accounting practices of triparty operations in the European union

Trilateral transactions or operations carried out between enterprises, registered under the Value Added Tax Act on the territory of European Union member states are becoming increasingly common. This requires a more in-depth study and analysis of their essence, in order for correct tax treatment and accounting to be done. For each of the three parties involved in the trilateral operations – transferor, intermediarie, the acquire, there are regulated requirements. The intermediary organizes and mediates the implementation of the trilateral operations – connects the transferor with the acquire and has for the most risks. There are fewer conditions regulated for the transferor and the acquire, which must also be met, as otherwise, the transactions will acquire a different type and method of taxation.