OfficialJournaloftheEuropeanCommunities 3
5.1.71 OfficialJournaloftheEuropeanCommunities NoL3/1
REGULATION (EECEURATOMECSC)No2/71OFTHECOUNCIL
of2January1971
implementingtheDecisionof21April1970onthereplacementoffinancial
contributionsfromMemberStatesbytheCommunities'ownresources
THECOUNCILOFTHEEUROPEANCOMMUNITIES ,
HavingregardtotheTreatyestablishingthe
EuropeanCoalandSteelCommunity ,andin
particularArticle78fthereof;
HavingregardtotheTreatyestablishingthe
EuropeanEconomicCommunity,andinparticular
Article209thereof;
HavingregardtotheTreatyestablishingthe
EuropeanAtomicEnergyCommunity ,andin
particularArticle183thereof;
HavingregardtotheTreatyestablishingaSingle
CouncilandaSingleCommissionoftheEuropean
Communities ,andinparticularArticle20thereof;
HavingregardtotheDecisionof21April19701on
thereplacementoffinancialcontributions from
MemberStatesbytheCommunities 'ownresources
(hereinaftercalled'Decisionof21April1970'),and
inparticularArticle6(2)thereof;
HavingregardtotheproposalfromtheCommission ;
HavingregardtotheOpinionoftheEuropean
Parliament2;
WhereastheDecisionof21April1970laysdownthat
theCouncilmustadoptprovisionsrelatingtothe
control,themakingavailableandthepaymentofthe
Communities 'ownresources,andtheprocedurefor
applicationofArticle3(3)andArticle4ofthat
Decision;
Whereas,pursuanttoArticle20oftheTreaty
establishing aSingleCouncilandaSingle
Commission oftheEuropeanCommunities ,thebudgetsofthethreeCommunitieswerecombinedin
asinglebudget;
Whereas,inapplicationofthatTreatyandofthe
Decisionof21April1970,theCommunities'own
resourcesmustbeenteredintheCommunities '
budgetinaccordancewithaproceduretobelaid
down;
Whereasitisappropriatetodeterminethetimelimits
withinwhichandtheprocedurewhereby <the
Communities 'ownresourcesareenteredintothe
accounts,paidover,andallocatedtothebudget;
whereassuchtimelimitsandprocedureshouldalso
bedeterminedasregardsstandardrefundsto
MemberStatesoftheexpensesincurredincollection;
WhereastheMemberStateskeepatthedisposalof
theCommissionandprovideitwhererequiredwith
thedocumentsandinformationneededtoexercise
thepowersconferreduponitasregardsthe
Communities'ownresourcesandthebudgetary
procedure;
WhereastheMemberStatesshouldarrangefor
verificationsandinquiriesrelatedtoestablishingand
makingavailabletheCommunities'ownresources;
whereastheCommissionshouldexerciseitspowers
inaccordancewiththisRegulation ;
Whereasappropriateprovisionmustbemadeas
regardstheshareofeachMemberStateandthe
factorswhichshouldbetakenintoaccountwhen'
applyingArticle3(3)andArticle4(1)ofthe
Decisionof21April1970,andalsotheadjustments
betweensuchshares;
WhereastheapplicationofArticle4(2),(3)and(4)
oftheDecisionof21April1970requiresacommon
definitionofthegrossnationalproductandofthe
procedureforcalculatingthis;
1OJNoL94,28.4.1970,p.19. Whereasitisappropriatetospecifythebalancetobe
carriedovertothefollowingfinancialyearandthe 2OJNoC129,26.10.1970,p.26.

4 OfficialJournaloftheEuropeanCommunities
(b)ofthegeneralprovisionslaiddownbylaw,
regulation,administrative actionforrelatingto
accountingprocedureconcerningtheestablish­
mentofownresourcesandtheirbeingmade
availabletotheCommission .
2.TheCommissionshallpasssuchinformationto
otherMemberStatesattheirrequest.procedurewherebytherevenuetobecollectedand.
thebalancetobecarriedforwardwillbeallocatedto
thebudget;
Whereascloseco-operationbetweenMemberStates
andtheCommissionwillfacilitatetheapplicationof
thisRegulation,whichaimsatenablingthe
Communitiestodisposeoftheirownresourcesunder
thebestpossibleconditions;
Article5
HASADOPTEDTHISREGULATION :
TITLEI
Generalprovisions
Article1EachMemberStateshalldrawupyearlyaclosing
statementofaccounttogetherwithareportonthe
establishment andcontrolofownresourcesandshall
forwardthistotheCommissionbefore1Juneofthe
yearfollowingthefinancialyearconcerned.
Article6
TheCommunities'ownresourceswithinthemeaning
oftheDecisionof21April1970(hereinaftercalled
'ownresources')shallbeestablishedbyMember
Statesinaccordancewiththeirownprovisionslaid
downbylaw,regulationoradministrative actionand
shallbemadeavailabletotheCommission in
accordancewiththisRegulation,withoutprejudiceto
theprovisionstobeadoptedinduecourse
concerningrevenuederivedfromvalueaddedtax.
Article21.Accountsforownresourcesshallbekeptbythe
TreasuryofeachMemberStateandbrokendown
intotypesofresources.
2.Theestablishedentitlementsshallbeenteredin
thoseaccountswithinaperiodofsixtydays
followingtheendofthemonthduringwhichthe
entitlementswereestablished .
EachMemberStateshallforwardtotheCommission,
withinthesameperiod,amonthlystatementofthose
accountsshowingthepositionasregardsthe
entitlementsestablishedforthemonthconcerned.
3.Theestablishedentitlementsshallbeenteredin
theaccountsoftheCommunities asrevenuetobe
collectedinsofarastheamountsinquestionhave
notbeenpaidover.
4.Theamountsactuallypaidovershallbeentered
asrevenueinthebudgetoftheCommunities .1.Forthepurposesof"applicationofthis
Regulation,anentitlementshallbedeemedtobe
establishedassoonasthecorresponding claimhas
beendulydeterminedbytheappropriatedepartment
oragencyoftheMemberState.
2.Thecompetentdepartmentoragencyofthe
MemberStateshallrevisetheentitlementestablished
inaccordancewithparagraph1wheretheneedfora
rectificationarises.
Article3 TITLEII
Provisionsformakingavailableandpayingoverthe
Communities 'ownresourcesMemberStatesshalltakeallrequisitemeasuresto
ensurethatthesupportingdocumentsconcerning
establishedentitlementsandthemakingavailableof
ownresourcesarekeptforthreeyears. Article7
Article41.Theamountofownresourcesestablishedshall
beenteredbyeachMembervStatetothecreditofthe
accountopenedwiththeTreasuryforthispurposein
thenameoftheCommission .Thisaccountshallbe
keptfreeofcharge.
2.Eachamountshallbe.enteredgross.Inthe
thirtydaysfollowingnotificationofeachentry,the1..EachMemberStateshallinformthe
Commission ,atthelatter'srequest:
(a)ofthenamesofthedepartmentsoragencies
responsibleforestablishingownresourcesand,
whereappropriate,theirstatutes;

OfficialJournaloftheEuropeanCommunities 5
Commissionshallissueatransferorderinfavourof
theMemberStatefortheamountscorresponding to
thestandardrefundfortheexpensesincurredin
collectionasreferredtointhefifthsubparagraph of
Article3(1)oftheDecisionof21April1970.
Article8purposetotheTreasuryortotheappropriate
departmentofeachMemberStateshallbecarriedout
assoonaspossible.
2.Incasesofactualliquiditydifficultyandwhere
allpossibilityofobtainingadvancesagainstthe
financialcontributions ofMemberStatesis
exhausted,theMemberStatesshall,atthe
Commission'srequest,makeanadvanceonfuture
resourcesnotexceedingoneandahalfmonth's
estimatedrevenue.
Advancesexceedingtheamountindicatedinthefirst
subparagraphandjustifiedbytherequirementsofa
rectifiyingorsupplementary preliminarydraftbudget
maybeauthorisedbytheCouncilactingbya
qualifiedmajorityonaproposalfromthe
Commission .Themethodforsettlingtheaccounts
shallbefixedatthesametimeastheauthorisation is
given.1.OwnresourcestobeestablishedbyeachMem­
berStatetogetherwithitsfinancialcontributionshall
bethesubjectofaprovisionalestimateenteredin
thebudget,accountbeingtakenofArticle3(3)and
Article4(1)oftheDecisionof21April1970.
2.Paymentshallbemadeoftheamountactually
establishedbytheMemberStateforthekindof
resourcesinvolved;whereappropriate,paymentshall
bemadeintheproportionfixedbythebudget,
subjecttorectificationwhenclosingtheaccounts.
3.Adjustmentshallbemadeforamountswhicha
MemberStatemayhaveoverpaidorwhichmight
stillbeowing.Article12
Transferoffundsshallbemade,sofaraspossible,
fromcurrenciesofMemberStateshavingarevenue
surplusintocurrenciesoftheotherMemberStates.
Theyshallberestrictedtoactualcashrequirements .Article9
TITLEIII1.TheentryreferredtoinArticle7(1)shallbe
madewithinaperiodofsixtydaysfollowingtheend
ofthemonthduringwhichtheentitlementwas
established .
2.Anydelayinmakingtheentryshallgiveriseto
thepaymentofinterestbytheMemberState
concernedatarateequaltothehighestrateof
discountrulingintheMemberStatesontheduedate.
Thatrateshallbeincreasedby0-25%foreachmonth
ofdelay.
Article10Provisionsconcerningmeasuresofcontrol
Article13
1.MemberStatesshalltakeallrequisitemeasures
toensurethattheamountscorresponding tothe
entitlements establishedunderArticles1and2are
madeavailabletotheCommission inaccordance
withthisRegulation .
2.MemberStatesshallnotberequiredtoplaceat
thedisposaloftheCommission theamounts
corresponding toestablishedentitlements solely
where,forreasonsofforcemajeure,theseamounts
couldnotbecollected.
3.EverysixmonthsMemberStatesshall
communicatetotheCommission ,whereappropriate
withintheframeworkofexistingprocedures,
comprehensive information andquestionsof
principleconcerningthemostimportantproblems
arisingoutoftheapplicationofthisRegulationand
inparticularmattersindispute.1.TheentitlementsestablishedunderArticle2(2)
-shallbeenteredinthemonthlyreturncorresponding
tothedateofrevisionandshallbeaddedtoor
subtractedfromthetotalamountoftheestablished
entitlements .
TheprovisionsofArticle9(2)shallalsoapplyto
thesenewentitlements .
2.Theexpensesincurredincollectionasreferred
tointhefifthparagraphofArticle3(1)ofthe
Decisionof21April1970shallberefunded,account
beingtakenoftheentitlementsestablishedunder
Article2(2).
Article14
Article11
1.MemberStatesshallcarryouttheverifications
andinquiriesconcerningestablishedentitlementsand
themakingavailableofownresources.The
Commission shallmakeuseofitspowersin
accordancewiththisArticle.1.TheCommissionshallhaveatitsdisposalfor
implementation ofthebudgettheamountscredited
toitsaccount.Ordersandinstructionswhich,in
accordancewithactualneeds,itforwardsforthis

6 OfficialJournaloftheEuropeanCommunities
2.Accordingly,MemberStatesshall: purposes,Communitytransitandinwardprocessing,
shallbeappliedbytheappropriateauthoritiesof
MemberStateswhenestablishingownresources.
TITLEIV—carryoutanyadditionalmeasuresofcontrolthe
Commissionmayaskforinareasonedrequest;
—associatetheCommission ,atitsrequest,withthe
measuresofcontrolwhichtheyarecarryingout.
MemberStatesshalltakeallstepsrequiredto
facilitatethesemeasuresofcontrol.Wherethe
Commission isassociatedwiththesemeasures,
MemberStatesshallplaceatisdisposalthesupporting
documentsreferredtoinArticle3.Inordertorestrict
asfaraspossibleadditionalmeasuresofcontrolthe
Commissionmay,inspecialcases,requirethatcertainProcedureforapplicationofArticle3(3)andArticle
4(1)oftheDecisionof21April1970
Article16
-documentsbeputatitsdisposal.
3.Themeasuresofcontrolreferredtoin
^paragraphs1and2shallnotprejudicethefollowing
measures :1.ForthepurposeofthisRegulation,'shareof
eachMemberState'meanstheproportionof
expenditureenteredinthebudget-ofthe
Communities andfinancedbymeansofown
resourceswithinthemeaningoftheDecisionof21
April1970derivingfromthatState,andalso,where
appropriate,bymeansofthefinancialcontributions
ofthatState,calculatedinaccordancewiththescale
showninArticle3(2)ofthatDecision.
2.Theupperlimitofthe.shareofeachMember
Stateforanygivenfinancialyearshallcorrespondto
itsshareinthefinancingofthebudgetofthe
Communities oftheprecedingfinancialyear,
calculatedinaccordancewithArticle3(3)ofthe
Decisionof21April1970,plus
—1%until31December1974;
—2%between1January1975and31December
1977.(a)themeasuresofcontrolundertakenbyMember
Statesinaccordancewiththeirownprovisions
laiddownbylaw,regulationoradministrative
action;
(b)themeasuresprovidedforinArticle206ofthe
Treatyestablishing theEuropeanEconomic
CommunityandArticle180oftheTreatyestab­
lishingtheEuropeanAtomicEnergyCom­
munity;
(c)theinspectionarrangementsmadepursuantto
Article209(c)oftheTreatyestablishingthe
EuropeanEconomicCommunityandArticle183
(c)oftheTreatyestablishingtheEuropean
AtomicEnergyCommunity .
4.Beforetheendof1973,theCommissionshall
reporttotheCouncilonthefunctioningofthe
system.
5.TheCouncilshall,actingunanimously ona
proposalfromtheCommission ,determine:
(a)theconditionswhichofficialsappointedbythe
Commissionmustsatisfywhentheycarryoutthe
verificationsprovidedforinthisArticle,in
particularwithregardtoprofessionalsecrecyand
theprocedurewherebytheyexercisetheirpowers
ofinvestigation ;
(b)whererequired,otherprovisionsforapplying
thisArticle.3.ThelowerlimitoftheshareofeachMember
Stateforanygivenfinancialyearshallcorrespondto
itsshareinthefinancingofthebudgetofthe
Communities oftheprecedingfinancialyear,
calculatedinaccordancewithArticle3(3)ofthe
Decisionof21April1970,less
—1-5%until31December1974;
—2%between1January1975and31December
•1977.
Article17
ArticleISForthepurposesofapplicationofArticle3(3)and
Article4(1)oftheDecision ,of21April1970and
withoutprejudicetoArticle3(5)ofthatDecision,
thefollowingfactorsshallbetakenintoaccount:
(a)theexpenditureincurredduringthefinancialyear
inquestion,plustheappropriations carriedover
tothefollowingfinancialyear,lessthe
appropriations carriedoverfrompreceding
financialyearsandwrittenoff,andalsorevenues
otherthanownresourcesandfinancial
contributionsfromMemberStates;TheprovisionsofCommunitylawapplicableto
mattersreferredtointhefirstparagraphofArticle2
oftheDecisionof21April1970,inparticular
regardingnomenclature ,origin,valueforcustoms

OfficialJournaloftheEuropeanCommunities 7
(b)foreachMemberState,theresourcesforwhich
anentitlementhasbeenestablishedduringthe
financialyearinquestion.
Article18thecompensation accountwhichithasdrawnup,
showingthedebitorcreditbalanceofeachMember
State.EachdebtorMemberStateshallpaytoeach
creditorMemberStatepartoftheamountshownin
itsdebitaccount,thatpartbeingproportionatetothe
shareofthecreditorMemberStateinthetotal­
amountenteredinthecreditaccount.
3.Inthemonthfollowingthiscommunication ,the
debtorMemberStatesshallpaytothecreditor
MemberStatestheamountowinginthenational
currencyofthelatterattheparitydeclaredtothe
InternationalMonetaryFund.1.InsofarasthesharesofcertainMemberStates
donotfallwithinthelimitsreferredtoinArticle16
(2)and(3),thesharesaboveandbelowthelimits
shallwherenecessarybeadjustedtobringthem
withinthoselimits;anydeficiencyinthebudgetshall
thenbeapportionedamongtheotherMemberStates
inaccordancewiththescalelaiddowninArticle3
(2)oftheDecisionof21April1970.
2.Thisoperationshallberepeatedifnecessary.
3.Anysurplusresultingfromapplicationofthis
Articleshallbecarriedovertothefollowingfinancial
year.Article22
Thepercentagestobetakenintoaccountforthe
CalculationsunderArticles16to20shall,foreach
operation,beroundedoffatthefourthdecimalplace.
TITLEV
Article19
ProcedureforapplicationofArticle4(2),(3)and(4)
oftheDecisionof21April1970
Article23Forbudgetsuptoandincludingthatforthefinancial
yearending31December1974,theadjustment
providedforinArticle18shallbecarriedoutwhen
thebudgetisfinallypassedandshallbefinally
adoptedwhentheaccountsforrevenueand
expenditurearesubmitted.
Article20
1.Fromthefinancialyear1975uptoand
includingtheyearending31December1977,the
adjustmenttothebudgetprovidedforinArticle18
shallbecarriedoutwhentheaccountsforrevenue
andexpenditurearesubmitted.
2.Thisadjustmentshallgiverisetofinancial
compensation betweentheMemberStatesconcerned .1.ThisArticleshallbeapplicablewhereitmaybe
necessarytotakeprovisionalmeasuresinderogation
underArticle4(2)and(3)oftheDecisionof21April
1970.
2.Thegrossnationalproductatmarketprices
shallbecalculatedonthebasisofstatisticsestablished
bytheStatisticalOfficeoftheEuropean
Communities ;itshallcorrespond,foreachMember
State,tothearithmeticaverageforthefirstthree
yearsofthefive-yearperiodprecedingthefinancial
yearinrespectofwhichArticle4(2)and(3)ofthe
Decisionof21April1970isapplicable.
3.Thegrossnationalproductshallbeestablished
inunitsofaccountattheparitiesdeclared,tothe
InternationalMonetaryFund.
Ifthereisachangeinparityinthecourseofayear,a
paritybasedontheparitiesdeclaredtothe
InternationalMonetaryFundandweightedonatime
basisshallbeapplied.
4.Aslongasthederogationprovidedforin
Article4(2)oftheDecisionof21April1970is
appliedtooneormoreMemberStates,the
Commissionshallfix,initspreliminarydraftbudget,Article21
1.Thefinancialcompensation referredtoin
Article20(2)shallbeeffectedinaccordancewiththe
thirdsubparagraphofArticle4(1)oftheDecisionof
21April1970.
2.TheCommission shallcommunicate tothe
MemberStates,duringthemonthfollowingthe
closureoftheaccountsforrevenueandexpenditure,

8 OfficialJournaloftheEuropeanCommunities
—alltherevenuecreditedtotheaccountsforthe
financialyearinquestion,lessthatpartofthe
revenuecreditedtotheaccountsforthepreceding
financialyearwhichwasnotcollectedduringthe
financialyearinquestion.
2.Theoutstandingamountswithinthemeaningof
thesecondindentofparagraph1shallberecorded
separatelyinasuspenseaccountandcreditedtothe
accountforthefinancialyearduringwhichtheyare
actuallycollected.
3.Thebalancetobecarriedovershallbefinally
determinedinaccordancewiththebudgetary
procedureatthesametimeastheaccountfor
revenueandexpenditurereferredtoinArticles19and
20areclosed.theestimatedpercentageofthebudgettobecovered
bythefinancialcontributionsoftheMemberStateor
Statesconcernedonthebasisoftheproportionof
theirgrossnationalproducttothesumtotalofthe
grossnationalproductsoftheMemberStates,and
shallestablishtherateofthevalueaddedtax
corresponding totheremainderofthebudgettobe.
coveredbytheotherMemberStates.Theamounts
shallbeapprovedinaccordancewithbudgetary
procedure.
5.Ifatthecloseoftheaccountsofthefinancial
yearinquestiontheCommissionfindsthatthe
MemberStateswhichhavepaidfinancial
contributions onthebasisofthegrossnational
producthaveintermsofpercentageactuallycovered
bymeansofthosefinancialcontributionsmorethen
theirshare,itshallestablishthenecessary
adjustmentstakingaccountoftheprovisionsofthe
thirdsubparagraphofArticle4(1)oftheDecisionof
21April1970.
6.ForthepurposesofthisRegulation :
(a)thegrossnationalproductatmarketpricesis
equaltothegrossdomesticproductatmarket
pricesplusincomefromemployment,property
andbusinessreceivedfromtherestoftheworld
lessthecorresponding ,flowtowardstherestof
theworld;
(b)thegrossdomesticproductatmarketprices,
whichrepresentsthefinaloutcomeofproduction
byresidentproductiveunits,correspondstothe
totalproductionofgoodsandservicesbythe
.economy,lesstotalintermediateconsumption ,
plusimportcharges.TITLEVII
.ProvisionsrelatingtotheAdvisoryCommitteeonthe
Communities 'OwnResources,andfinalprovisions
Article25
1.AnAdvisoryCommitteeontheCommunities'
OwnResources(hereinaftercalledthe'Committee')
isherebysetup.
TITLEVI2.TheCommitteeshallconsistofrepresentatives
oftheMemberStatesandoftheCommission .Each
MemberStateshallberepresentedontheCommittee
bynotmorethanfiveofficials.
TheChairmanoftheCommittee shallbea
representative oftheCommission .
SecretarialservicesfortheCommitteeshallbe
providedbytheCommission .
3.TheCommitteeshalladoptitsownrulesof
procedure.ProcedureforapplicationofArticle4(5)ofthe
Decisionof21April1970
Article24
Article261.Thebalanceofonefinancialyeartobecarried ,
overtothefollowingfinancialyear,inaccordance
withArticle4(5)oftheDecisionof21April1970,
shallconsistofthedifferencebetween:
—expenditureincurredduringthefinancialyearin
question,plustheappropriations carriedoverto
thefollowingfinancialyear,lessappropriations
carriedoverfromtheprecedingfinancialyears
andwrittenoff;andTheCommitteeshallexaminethequestionsraisedby
itsChairman,onhisowninitiativeorattherequest
oftherepresentative ofaMemberState,which
concerntheapplicationofthisRegulation,andin
particular:

OfficialJournaloftheEuropeanCommunities 9
Article27 (a)informationandcommunication providedforin
•Articles4(1)(b),5and13(3);
(b)casesofforcemajeurereferredtoinArticle13
(2);
(c)measuresofcontrolandinspectionprovidedfor
inArticle14(2).ThisRegulationshallenterintoforceontheday
followingitspublicationintheOfficialJournalofthe
EuropeanCommunities .
Itshallhaveeffectfromthedateofentryintoforce
oftheDecisionof21April1970.
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicableinallMember
States.
DoneatBrussels,2January1971.
FortheCouncil
ThePresident
M.SCHUMANN