News from the EU - September 2019

European Commission

Mrs Von Der Leyen announces her new cabinet of Commissioners with an ambitious tax agenda

The new Commission President Ursula Von Der Leyen (VDL) has announced the three main priorities for the next five years will be sustainability, digitalisation and the economy.

The former Italian Prime Minister, Paolo Gentiloni, was appointed as the Commissioner for taxation (subject to confirmation by the Parliament, in principle by the end of next month (23rd), thus succeeding the incumbent Pierre Moscovici. VDL announced the following priorities for Gentiloni’s mandate as the tax Commissioner:

  • Anti-avoidance with emphasis on VAT and administrative cooperation
  • Abandoning unanimity on tax decision making and moving to qualified majority voting (QMV)

Link: https://ec.europa.eu/commission/interim/commissioners-designate

Commission study on VAT Gap finds EU lost EUR 137 billion VAT revenue in 2017

The European Commission has published latest VAT Gap figures. They show that in 2017, EU countries lost EUR 137 billion in VAT revenues.

The largest VAT gaps were in Romania (36%), Greece (34%) and Lithuania (25%). The smallest gaps of just 1% of VAT revenues were to be found in Sweden, Luxembourg and Cyprus.

In absolute terms, the highest VAT gap was in Italy, with around EUR 33,5 billion.

Link: https://ec.europa.eu/commission/presscorner/detail/en/ip_19_5511

New update of EU VAT Cross-Border Rulings list – 15 July 2019

Link: https://ec.europa.eu/taxation_customs/sites/taxation/files/cross-border-rulings.pdf?_cldee=c3RlcGhlbi5oLmRhbGUuZnJhbmNlQGdtYWlsLmNvbQ%3d%3d&recipientid=contact-5a992cc1bc6ee61180e1c4346bad508c-49a50e3dcdf34101bccbec766da54082&esid=d56c58c7-6eca-e911-a970-000d3ab6d103

 

European Parliament

JURI and ECON hearings with Finnish Presidency - Presidency outlines its priorities for tax

At the ECON hearing, the Finnish minister of finance explained to the MEPs which tax files the Presidency would aim to advance.

According to the minister, the Presidency will:

  • Continue work on OECD negotiations for international tax reform
  • Seek progress on VAT definitive regime, and try to take out e-commerce elements from the VAT definitive regime proposal
  • Progress on other VAT files like data collection from payment services providers, VAT for SMEs and VAT for defence industry
  • Advance C(C)CTB
  • Facilitate discussions on the financial transaction tax (FTT)
  • Launch the debate on energy taxation.

 

CJEU – Rulings

C‑71/18: VAT exemption for supply of buildings intended for demolition

 

Others

The Guardian Opinion: Is it time to switch income tax with a sales tax?

Link: https://www.theguardian.com/business/2019/sep/05/is-it-time-to-switch-income-tax-with-a-sales-tax

European Commission publishes statistics on VAT Mini One Stop Shop (MOSS)

Link: https://ec.europa.eu/taxation_customs/sites/taxation/files/moss-statistics-2019.pdf

 

European Court of Auditors

New report from EU Auditors highlights problems in VAT e-commerce collection

E-commerce: many of the challenges of collecting VAT and customs duties remain to be resolved

 

Link: https://www.eca.europa.eu/Lists/ECADocuments/SR19_12/SR_E-COMMERCE_VULNERABILITY_TO_TAX_FRAUD_EN.pdf?_cldee=c3RlcGhlbi5oLmRhbGUuZnJhbmNlQGdtYWlsLmNvbQ%3d%3d&recipientid=contact-5a992cc1bc6ee61180e1c4346bad508c-49a50e3dcdf34101bccbec766da54082&esid=d56c58c7-6eca-e911-a970-000d3ab6d103

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News from the Board

IVA Meeting with the Portuguese Tax Authorities

The International VAT Association (IVA), represented by its President, Stephen Dale, and Board Member, Fátima Gouveia, met with the representatives of the Portuguese Secretary of State for Tax Affairs and of the Portuguese VAT Authority on the 9th of July 2019, in Lisbon. The IVA thanked the authorities for meeting with us at short notice.

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News from IVA members

VAT group: new legal regulation in Germany

The Federal Ministry of Finance has suggested changing the German VAT regulations as regards VAT groups (Federal Ministry of Finance, key issue paper of 14 March 2019). One significant proposed innovation is...

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News from EC

News from the EU - September 2019

The new Commission President Ursula Von Der Leyen (VDL) has announced the three main priorities for the next five years will be sustainability, digitalisation and the economy...

Read more ...

Disclaimer:  The information contained in the present page is general and does not constitute legal advice. Before taking any decision or action on the above information you should take the appropriate professional advice.