Updates on the OECD Pillar Two minimum tax directive and a directive to amend VAT rate laws

The council passed a VAT rate directive that will allow EU member states to:  

• 2 reduced VAT rates of 5% for 24 products  
• Zero-rated VAT rates for 7 products  
• Super reduced VAT rate of 5% for 1 product  
• An existing VAT exemption of at least 12% VAT rate for other member states under specific conditions   
• A shift in the place of taxation starting from 2025 

Source: GVC