DG TAXUD publishes work plan for 2022
The European Commission’s (EC) Directorates-General (DGs) published their so-called Management Plans for 2022 on 7 March. These are documents that give details about each DG’s work plans for the year in question.
The DG TAXUD Management Plan contains little new, but the following points are to be noted:
a proposal for multinationals to disclose their effective tax rates is listed for Q2. EC had referred to this proposal many times in 2021, but in past months it seemed to have disappeared from their public documents and comments
Pillar 1 proposal is curiously listed for Q4, although in EC’s planning documents the indicative date of 27 July is mentioned
value-added tax (VAT) in the digital age proposal is scheduled for Q3
directive on administrative cooperation (DAC) 8 proposal is scheduled for Q2
an initiative to address the VAT gap is scheduled for Q3
an initiative for taxpayers’ rights is scheduled for Q1
a pilot project for cooperative compliance is being launched in Q1
Deadline for VAT in the digital age consultation extended
EC has announced a generous extension to its ongoing public consultation on VAT in the digital age. The new deadline is 5 May. The consultation is meant to inform EC’s direction of thinking ahead of a proposal expected for Q3 2022.
EP approves position on VAT rates reform via quick procedure
The European Parliament’s (EP) Plenary approved on 9 March its position, prepared by MEP Marek Belka (S&D/Poland), on EU VAT rates reform. The position was adopted by an impressive majority of 612 votes in favour, 14 against and 71 abstentions.
In December 2021, the Council reached an agreement on a proposal to update EU rules on VAT rates. Given fundamental differences between the original 2018 EC proposal on which the EP was initially consulted, and the text unanimously agreed in the Council, the latter decided to re-consult the EP.
MEP Belka felt that although not fully in line with the first Parliament opinion, the Council agreement does take some crucial elements proposed by the EP into account.
With the EP’s opinion adopted, the Council agreement can now be implemented into EU law.
See also an information document published by Accountancy Europe outlining the key features of the Council agreement.