2005/911/EC: Council Decision of  12 December 2005  authorising the Federal Republic of Germany to conclude an agreement with the Swiss Confederation that includes provisions derogating from Articles 2(2) and 3 of the Sixth Directive 77/388/EEC on the harmonisation of the laws of the Member States relating to turnover taxes
Date: 2005-12-12
Institutions: Council of the European Union
Subjects: Germany, Switzerland, VAT, agreement (EU), derogation from EU law, engineering structure, provision of services, tax harmonisation

L 331/30

EN

Official Journal of the European Union

17.12.2005

COUNCIL DECISION

of 12 December 2005

authorising the Federal Republic of Germany to conclude an agreement with the Swiss
Confederation that includes provisions derogating from Articles 2(2) and 3 of the Sixth Directive
77/388/EEC on the harmonisation of the laws of the Member States relating to turnover taxes

(2005/911/EC)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty
Community,

establishing the European

Having regard to Sixth Council Directive 77/388/EEC of 17
May 1977 on the harmonization of the laws of the Member
States relating to turnover taxes — Common system of value
added tax: uniform basis of assessment (1), and in particular
Article 30 thereof,

Having regard to the proposal from the Commission,

Whereas:

(1)

(2)

(3)

the
Under Article 30(1) of Directive 77/388/EEC,
from the
Council, acting unanimously on a proposal
Commission, may authorise
to
conclude with a third country an agreement which
may contain derogations from that Directive.

any Member State

By a letter registered with the Secretariat-General of the
Commission on 14 January 2005, the Federal Republic
of Germany (hereinafter ‘Germany’) requested authori-
sation to conclude an agreement with the Swiss Confed-
eration (hereinafter ‘Switzerland’) on the building and
the maintenance of a frontier bridge across the Rhine
between Laufenburg (Baden-Württemberg, Germany) and
Laufenburg (Aargau, Switzerland).

30(2)

accordance with Article

of Directive
In
77/388/EEC,
the Commission informed the other
Member States by letter dated 17 January 2005 of the
request made by Germany. By letter dated 19 January
2005, the Commission notified Germany that it had all
the information it deemed necessary to consider the
request.

(4)

(5)

(6)

(7)

is

agreement

to contain provisions on VAT
The
derogating from Articles 2(2)
and 3 of Directive
77/388/EEC in respect of goods and services supplied
for the building and the maintenance of
the frontier
bridge and of goods imported for the same purposes.

carried out

If the derogations from Directive 77/388/EEC were not
granted, building and maintenance
in
Germany would be subject
to German VAT whereas
those carried out in Switzerland would not be subject
to the provisions of Directive 77/388/EEC. Goods
the
imported from Switzerland into Germany for
building or
the frontier bridge
would also be subject to German VAT.

the maintenance of

Application of the normal rules would mean serious tax
complications for the businesses responsible for carrying
out the works.

The purpose of
to simplify the
collection of taxes on the works involved in building
and maintenance of the bridge in question.

the derogations

is

(8)

The derogations will have a totally insignificant effect on
the Community’s own resources accruing from VAT,

HAS ADOPTED THIS DECISION:

Article 1

Germany is hereby authorised to conclude an Agreement with
includes provisions derogating from the
Switzerland that
Directive 77/388/EEC and that covers the building and the
maintenance of a frontier bridge across the Rhine between
Laufenburg (Baden-Württemberg, Germany) and Laufenburg
(Aargau, Switzerland).

(1) OJ L 145, 13.6.1977, p. 1. Directive last amended by Directive

2004/66/EC (OJ L 168, 1.5.2004, p. 35).

The derogating tax provisions in respect of the Agreement are
set out in Articles 2 and 3.

17.12.2005

EN

Official Journal of the European Union

L 331/31

Article 2

By way of derogation from Article 2(2) of
the Directive
77/388/EEC, goods imported from Switzerland into Germany
shall not be subject to value added tax, provided they are used
for the building or the maintenance of the bridge referred to in
Article 1 of this Decision. However, this derogation shall not
apply to goods imported for the same purposes by a public
authority.

Article 3

By way of derogation from Article 3 of
the Directive
77/388/EEC, the part of the bridge that is situated in German
territory shall be deemed to be part of Swiss territory for the

purposes of the supplies of goods and services for the building
and the maintenance of the bridge.

Article 4

This Decision is addressed to the Federal Republic of Germany.

Done at Brussels, 12 December 2005.

For the Council
The President

J. STRAW