Proposal for a Council Regulation amending Regulation (EEC) No 218/92 on administrative co-operation in the field of indirect taxation (VAT) as regards additional measures regarding supplies of travel services
Date: 2003-02-21
Institutions: European Commission
Subjects: VAT, administrative cooperation, basis of tax assessment, distributive trades, provision of services, single market, tax exemption, travel agency

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 24.3.2003
COM(2003) 78 final/2

2003/0057 (COD)

CORRIGENDUM
Annule et remplace la Proposition de
Règlement du Conseil (COM(2003) 78 final
du 21.2.2003.
Les changements sont indiqués sur la p. 2 (Exposé des motifs).
Ce corrigendum concerne toutes les langues.

Proposal for a

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

amending Regulation (EEC) No 218/92 on administrative co-operation in the field of
indirect taxation (VAT) as regards additional measures regarding supplies of travel
services

(presented by the Commission)

EXPLANATORY MEMORANDUM

The proposed amendment of the Regulation (EEC) No 218/92 on administrative co-operation
in  the  field  of  indirect  taxation  (VAT)  as  regards  additional  measures  regarding  supplies  of
travels services, which is based on Article 95 of the Treaty, should be adopted through the co-
decision procedure described under Article 251 of the Treaty.

Following  a  procedural mistake neither  the  title nor the signature provision  of  the  proposed
amendment1 were modified accordingly.

In order to correct this mistake, the Commission proposes to make the following amendments
to the Commission's original proposal for a Council Regulation amending Regulation (EEC)
No 218/92  on  administrative co-operation in  the field of indirect  taxation  (VAT)  as  regards
additional measures regarding supplies of travel services:

(cid:1)  The title is modified to " a proposal for a Regulation of the European Parliament and of the

Council";

(cid:1)  The reference to "Having regard to the opinion of the European Parliament" is deleted;

(cid:1)  An additional phrase "Acting in accordance with the procedure laid down in Article 251 of

the Treaty" is inserted;

(cid:1)  "Has adopted this Regulation" is modified to "Have adopted this Regulation";

(cid:1)  The signature for the President of the European Parliament is added;

(cid:1)  The numbering of the footnotes is adjusted.

(cid:1)  "Official  Journal  of  the  European  Communities"  is  modified  to  "Official  Journal  of  the

European Union".

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COM(2003) 78final

2

                                                
2003/0057 (COD)

Proposal for a

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

amending Regulation (EEC) No 218/92 on administrative co-operation in the field of
indirect taxation (VAT) as regards additional measures regarding supplies of travel
services

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular
Article 95 thereof,

Having regard to the proposal from the Commission2;

Having regard to the opinion of the European Economic and Social Committee3;

Acting in accordance with the procedure laid down in Article 251 of the Treaty4;

Whereas:

(1) 

(2) 

Council  Directive  2003/xxx/EC  of  [………………….  2003]  amending  Directive
77/388/EEC as regards the special scheme for travel agents5 provides a framework for
taxing supplies of travel services in the Community effected by taxable persons who
are  neither  established  nor  required  to  be  identified  for  tax  purposes  within  the
Community.

Since  the  Member  State  of  consumption  has  primary  responsibility  for  ensuring  that
non-established suppliers comply with their obligations, the information necessary to
operate the special scheme for travel services supplied by operators not established in
the Community, as provided for in Article 26(3) of Directive 77/388/EEC of 17 May
1977 on the harmonisation of the laws of the Member States relating to turnover taxes
-  Common  system  of  value  added  tax:  uniform  basis  of  assessment6  should  be
transmitted to those Member States.

(3) 

It is necessary to provide that the value-added tax due in respect of such supplies is to
be transferred to the accounts designated by the Member States of consumption,

(4) 

Regulation (EEC) No 218/92 should therefore be amended accordingly,

2 
3 
4 
5

6

OJ C […], […], p. […]
OJ C […], […], p. […]
OJ C […], […], p. […]
OJ L …
OJ  L  145  of  13/6/1977,  p.  1  as  last  modified  by  Council  Directive  2002/92/EC  of  3  December  2002
OJ L 331 of 7/12/2002, p 27

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HAVE ADOPTED THIS REGULATION:

Article 1

Regulation (EEC) No 218/92 is amended as follows:

(1)

The following Title III B is inserted:

"Title III B

Provisions concerning the special scheme provided for in Article 26(3) of Directive
77/388/EEC

Article 9g

The  following  provisions  shall  apply  to  the  special  scheme  provided  for  in  Article
26(3)  in  Directive  77/388/EEC.  The  definitions  set  out  in  Article  26(3)  shall  also
apply for the purposes of this Title.

Article 9h

1.

2.

The information from the non-established taxable person to the Member State
of identification when his activities commence set out in the first subparagraph
of  Article  26(3)(b)(1)  of  Directive  77/388/EEC  is  to  be  submitted  in  an
electronic  manner.  The  technical  details,  including  a  common  electronic
message, shall be determined in accordance with the procedure provided for in
Article 10.

The Member State of identification shall transmit the information referred to in
paragraph  1  by  electronic  means  to  the  competent  authorities  of  the  other
Member  States  within  ten  days  from  the  end  of  the  month  during  which  the
information was received from the non-established taxable person. In the same
manner the competent authorities of the other Member States shall be informed
of the allocated identification number.

The  technical  details,  including  a  common  electronic  message,  by  which  the
information  is  to  be  transmitted  shall  be  determined  in  accordance  with  the
procedure provided for in Article 10.

3.

The  Member  State  of  identification  shall  without  delay  inform  by  electronic
means  the  competent  authorities  of  the  other  Member  States  if  a  non-
established taxable person is excluded from the identification register.

Article 9i

1.

The  return  with  the  details  set  out  in  the  second  subparagraph  of  Article
26(3)(b)(4)  of  Directive  77/388/EEC  shall  be  submitted  in  an  electronic
manner.

The  technical  details,  including  a  common  electronic  message  shall  be
determined in accordance with the procedure provided for in Article 10.

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2.

The Member State of identification shall transmit the information referred to in
paragraph  1  by  electronic  means  to  the  competent  authority  of  the  Member
State concerned at the latest ten days after the end of the month in  which  the
return was received. Member States, which have required the tax return to be
made in a currency other than euro, shall convert the amounts into euro using
the exchange rate valid for the last date of the reporting period.

The  exchange  shall  be  done  following  the  exchange  rates  published  by  the
European Central Bank for that day, or, if there is no publication on that day,
on the next day of publication.

The  technical  details,  by  which  this  information  is  to  be  transmitted  shall  be
determined in accordance with the procedure provided for in Article 10.

3.

The  Member  State  of  identification  shall  transmit  by  electronic  means  to  the
Member  State  of  consumption  the  information  needed  to  link  each  payment
with a relevant quarterly tax return.

Article 9j

The  provisions  in  Article  4(1)  shall  also  apply  to  information  collected  by  the
Member  State  of  identification  in  accordance  with  Article  26(3)(b)(1)  and  (4)  of
Directive 77/388/EEC.

Article 9k

1.

The  Member  State  of  identification  shall  ensure  that  the  amount  the  non-
established  taxable  person  has  paid  is  transferred  to  the  bank  account
denominated  in  euro,  which  has  been  designated  by  the  Member  State  of
consumption to which the payment is due.

Member  States,  which  have  required  the  payments  in  a  currency  other  than
euro shall convert the amounts into euro using the exchange rate valid for the
last  date  of  the  reporting  period.  The  exchange  shall  be  done  following  the
exchange  rates  published  by  the  European  Central  Bank  for  that  day,  or,  if
there is no publication on that day, on the next day of publication. The transfer
shall take place at the latest ten days  after  the  end  of the  month in which the
payment was received.

2.

If  the  non-established  taxable  person  does  not  pay  the  total  tax  due,  the
Member  State of identification  shall  ensure that  the  payment  is  transferred  to
the  Member  States  of  consumption  in  proportion  to  the  tax  due  in  each
Member State.  The  Member  State  of  identification  shall  inform  by  electronic
means the competent authorities of the Member States of consumption thereof.

Article 9l

1. Member  States  shall  notify  by  electronic  means  the  competent  authorities  of
the  other  Member  States  of  the  relevant  bank  account  numbers  for  receiving
payments in accordance with Article 9k.

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2. Member  States  shall  without  delay  notify  by  electronic  means  the  competent
authorities of the other Member States and the Commission of changes in the
standard tax rate.";

(2)

In Article 13(1), the first sentence shall be replaced by the following:

"  The  Commission  and  the  Member  States  shall  ensure  that  such  existing  or  new
communication and information exchange systems as are necessary to provide for the
exchanges of information described in Article 9b and 9c and in Articles 9h and 9i are
operational  by  the  dates  specified  in  Article  3(1)  of  Directive  2002/38/EC  and  in
Article 3 of Directive 2003/xx/EC, respectively.”

Article 2

This  Regulation  shall  enter  into  force  on  the  seventh  day  following  its  publication  in  the
Official Journal of the European Union.

It shall apply from 1 July 2003.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels, […]

For the European Parliament 
The President
[…]

For the Council
The President
[…]

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