How did you meet BC&A?
About 12 years ago. We had an American cli-
ent bringing a big international association
event to one of our French destinations. I had
just met BC&A’s Jean-François BENARD a few
weeks before. We clicked immediately and
were able to smooth complex tax issues for the
client. The operation was a success. The client
repeated its event 3 years later in the same
Venue. Naturally, BC&A was retained again by
the end client for the repeat business.
Do you believe VAT is a complex matter for
the organizer of an International conference?
Absolutely! Most of non-European organizers
barely grasp the complexity of tax issues on
European soil. Thus when they wake up 1-2
years after having signed the initial space
contract, everything has to be redone in order
to make sure they get a fair tax treatment at
event time. It doubles the red tape!
The organization of the annual conference
Very often, associations see VAT exemption as a major asset. On the
contrary, in the context of the organization of a conference, this sta-
tus has many disadvantages.
Yes, prices are invoiced without VAT (tickets, stand and sponsor-
ship). However, the association can no longer obtain a refund of VAT
on expenses (convention center, audio-visual, caterers, services, etc.).
Prices are therefore mechanically much higher to cushion the ex-
pense overload.
On the other hand, under the general VAT regime, the cheaper tick-
ets are invoiced with refundable VAT for professional participants;
and in most cases exhibitors and sponsors are applied the reverse
charge and therefore do not have to pay VAT.
As for the association itself, it will be able to use the reverse charge
mechanism and not have to disburse VAT on certain purchases made
for the conference. This is a great lever for cash flow.
Choosing the general scheme is a considerable asset because the ad-
ditional gain of around 20% or more of the expenses will be paid into
the association's annual budget.
The choice of the VAT statuts directly impacts the budget of the con-
gress or conference. Balancing the budget is crucial. Associations
must cover costs while keeping registration and related fees afforda-
ble for participants.
BC&A
Eric ABRAMSON
Director of Major Accounts and
International Development at GL
events Venues
How do you value the assistance of BC&A for
the organizer of an International conference?
I would definitely recommend BC&A. Their
assistance is of paramount importance. They
have a deep knowledge of the complexity of
European tax laws. My only advice? Work
with them from the onset of your event (i.e.;
contracts with the local suppliers to make sure
VAT will be recovered properly; without ha-
ving to redo the whole paperwork afterwards).