Group on The Future of VAT – Minutes of its 43rd Meeting

The meeting of the Group of The Future of VAT took place on November 9, 2023.

Summary

1. Introduction and Agenda Approval: The chair welcomed delegates, and the agenda was approved without contest.
2. Nature of the Meeting: The meeting was physical and not open to the public.
3. Exemptions for International Organizations – Electronic Exemption Certificate:
   • The Commission presented a working paper on the need for an electronic exemption certificate.
   • Option 3, with a PDF e-form in an electronic process, gained support.
   • Delegates discussed access management at the Member State level, costs, and data protection.
   • The Commission affirmed a consensus on a digital solution, with a preference for option 3.
   • Legal proposal considerations were discussed, and SCAC and SCIT will delve into technical details.
4. Amendments in a Late Submitted OSS/IOSS VAT Return:
   • The Commission proposed a harmonized correction mechanism for OSS schemes.
   • Member States preferred a solution allowing corrections to previous tax periods, triggering updates to the VAT Directive.
   • Detailed declarations of corrections in OSS VAT returns were suggested.
5. Special Scheme for SMEs – Explanatory Notes:
   • Delegates welcomed the first draft of Explanatory Notes on the SME scheme.
   • Suggestions for inclusions were discussed, and a more advanced version will be prepared after further analysis.
6. Information Points:
   • Updates on ViDA negotiations in the Council were provided.
   • A high-level presentation on customs reform, including the VAT proposal (COM(2023)262 final), was given.
7. AOB – Expiration of Commission Decision 2023/829:
   • The Commission informed about the expiration of the Decision on importation for goods for Ukraine.
   • Member States expressed interest in extending the relief, and the Commission is preparing the Decision.
8. Next Meeting: The next meeting is likely to take place on March 21, 2024.
9. List of Participants: Commission officials from DG TAXUD Unit C1 and B4, and members of the Group on the Future of VAT participated.

Source GFV 132 – Minutes 43rd GFV meeting

Meeting documents

• Agenda 43rd GFV meeting
• GFV 129 – Electronic exemption certificate
• GFV 130 – Amendments in a late submitted OSS VAT return
• GFV 131 – SME Explanatory Notes – MS suggestions of topics
• Presentation – Customs reform