Proposal for a COUNCIL IMPLEMENTING DECISION amending Implementing Decision 2009/1013/EU authorising the Republic of Austria to continue to apply a measure derogating from Articles 168 and 168a of Directive 2006/112/EC on the common system of value added tax
- Austria has requested to continue applying a special VAT measure that allows the exclusion of VAT deductions on goods and services used over 90% for private or non-business purposes. This measure simplifies VAT collection and helps prevent tax evasion by reducing administrative burdens for both businesses and tax authorities.
- The special measure, initially granted in 2004 and extended multiple times, is deemed effective in its current form, allowing a 10% threshold for business use to determine VAT deductibility without significantly impacting overall VAT revenue.
- The proposal includes a time-limited extension of the measure until December 31, 2027, with a requirement for Austria to submit a report by March 31, 2027, if seeking further extensions, ensuring continued assessment of its effectiveness and appropriateness.
Source eur-lex.europa.eu
