Common system of value added tax (VAT): conferral of implementing powers to the Commission to determine the meaning of the terms used in certain provisions

Businesses involved in cross-border trade and VAT-taxable transactions, and Member State tax administrations, are most affected by clearer common VAT interpretations.

• Gives the Commission implementing powers to define terms in specified VAT Directive titles and annexes.
• Excludes Member State options, nationally defined terms, national procedures, recognitions, authorisations, and tax reference numbers.
• Keeps Council implementing powers for VAT scope, rates, derogations, and matters outside Commission term definitions.
• Creates a committee procedure requiring Member State control before Commission implementing acts are adopted.

Takes effect

The Directive enters into force on the twentieth day following publication in the Official Journal of the European Union.

Transitional law

Existing Council implementing measures remain until the Council deletes overlapping provisions after Commission implementing acts are adopted.

• Directive 2006/112/EC (32006L0112)
  • art. 397: replaces Article 397
  • art. 397a: inserts new Article 397a in Chapter 1 of Title XIV
  • art. Title XIV, Chapter 2 title: replaces title of Chapter 2 in Title XIV
  • art. 398a: inserts new Article 398a in Chapter 2 of Title XIV