Proposal for a COUNCIL REGULATION on the methods and procedure for making available the own resource based on the value added tax
Date: 2011-11-09
Institutions: European Commission
Subjects: VAT resource, basis of tax assessment, scientific calculation, tax reform

EUROPEAN COMMISSION 

Brussels, 9.11.2011 
COM(2011) 737 final 

2011/0333 (CNS) 

Proposal for a 

COUNCIL REGULATION 

on the methods and procedure for making available the own resource based on the value 
added tax 

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EXPLANATORY MEMORANDUM 

1 CONTEXT OF THE PROPOSAL 

1.1. 

Introduction 

On 29 June 2011 the Commission adopted a proposal for a Council Decision […/…] on the 
system  of  own  resources  of  the  European  Union  (hereinafter  "ORD 2014")1.  This  proposal 
included  the  creation  of  a  new  own  resource  based  on  "a  share  of  the  Value  Added  Tax" 
(VAT) on supplies of goods and services, acquistions and importations "subject to a standard 
rate of VAT in every Member State" throughout the European Union (hereinafter referred to 
as  the  "new  VAT  own  resource").  The  Commission  announced  that  it  would  present  the 
relevant detailed regulations by the end of 2011. 

The purpose of this proposal is to lay down, in accordance with Article 322(2) of the Treaty 
on the Functioning of the European Union (hereinafter "TFEU"), the method Member States 
should use to calculate this new own resource and the procedures for making it available to 
the EU budget. These arrangements complement the provisions laid down in the ORD 2014 
and the implementing measures laid down under Article 311(4) TFEU concerning control and 
supervision and supplementary reporting requirements2. 

This  proposal  draws  upon  past  experience  in  administering  an  own  resource  derived  from 
VAT.  It  aims  to  simplify  the  calculation  of  national  contributions  thereby  reducing 
administrative costs while increasing transparency and facilitating democratic scrutiny of the 
resource,  thus  fostering  a  genuine  link  between  EU  VAT  policy,  the  public  finances  of  the 
Member States and EU budget financing.  

1.2. 

A new calculation method 

1.2.1.  Basic principles 

The  new  calculation  method  being  proposed  can  be  described  in  the  following  four  main 
steps. 

• 

• 

1 
2 

The  method  uses  as  its  starting  point  the  most  definite  and  easily  obtained  data 
available – the VAT receipt figures held by the Member States. To ensure that only 
VAT  receipts  are  included  about  half  the  Member  States  will  need  to  continue  to 
correct  their  figures  to  exclude  interest  and  penalties.  Additionally  a  minority  of 
Member States will also need to continue to make adjustments to take into account 
overseas  territories,  the  specific  VAT  treatment  granted  to  some  peripheral  regions 
and subsidies they deliver via the VAT system.  

In  order  to  obtain  maximum  simplicity  and  transparency  combined  with  minimal 
administrative costs it is proposed that the Commission arrange to have determined a 
single  EU-wide  average  proportion  of  VAT  receipts  accruing  from  standard-rated 
supplies  to  final  consumption  (that  is  made  to  households  or  other  entities  not 

OJ L […], […], p. […]. 
Amended proposal for a Council Regulation laying down implementing measures for the system of own 
resources of the European Union, COM(2011)740 of 9.11.2011. 

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entitled  to  deduct  the  VAT  they  have  been  charged),  which  are  standard-rated  in 
every Member State. To ensure predictability, this same average would be used for 
the duration of a single financial framework.  

Member  States  apply  the  single  EU-wide  average  proportion  to  their  adjusted 
receipts.  The  resulting  'chargeable  VAT  receipts'  figure  is  converted  to  a  tax-
exclusive base value using each Member State's actual VAT standard-rate.  

Once the value of the chargeable base has been determined, the share set out in the 
Regulation  implementing  the  own  resources  Decision  is  applied  to  calculate  the 
actual contribution. There would be no articifical capping of the chargeable bases.  

• 

• 

In  summary,  each  month  Member  States  make  a  simple  calculation  using  their  (adjusted) 
VAT receipts for the month, the single EU-wide average proportion of VAT receipts accruing 
from standard-rated supplies to final consumption provided by the Commission, their standard 
rate and the share defined for the new VAT own resource.  

1.2.2.  Main advantages compared to the current method 

Compared  to  the  method  currently  used  for  the  calculation  of  the  VAT  own  resource,  this 
simplified method present three key advantages: 

• 

• 

It  reduces  the  number  of  corrections  Member  States  need  to  apply  to  their  VAT 
receipts. There will no longer be any need to make corrections  concerning  flat-rate 
agricultural  schemes.  The  current  correction  is  very  complex  but  the  adjustments 
ultimately  obtained  are  limited  -  less  than  1%  of  receipts  for  all  but  two  Member 
States in 2009. Similarly, the correction concerning graduated relief schemes will no 
longer be required. 

It  eliminates  the  need  to  calculate  compensations.  This  is  justified  as  the  various 
adjustments  appear  overall  not  to  have  had  a  significant  effect  on  Member  State 
contributions (this is especially true once the role of the GNI-based resource is taken 
into account) despite the administrative burdens they place on Member States3.  

In  practice,  the  eighteen  compensations  covering  items  for  which  Directive 
2006/112/EC permitted Member States to opt whether or not to tax will no longer be 
required because of the focus on consistently standard-rated supplies only.  

Other  compensations  applicable  in  some  Member  States  will  also  disappear.  This 
includes  those  concerning  variations  in  registration  thresholds,  which  have  a 
significant  outcome  only  in  two  Member  States  and  the  importance  of  which  will 
decrease  with  the  proposed  focus  on  standard-rated  supplies.  Similarly,  the  very 
complex compensations related to the VAT input tax treatment of business vehicles 
will also be eliminated. A compensation is calculated by most Member States but the 
actual reduction in VAT own resource contributions for each Member State can be 
estimated to be less than three hundredths of 1%.  

3 

See Annex to the Commission Staff Working Paper "financing the EU budget: report on the operation 
of the own resources system", SEC(2011)876, p. 104. 

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Finally, should any adjustment be needed because of in instances where EU law has 
been infringed these in future would be dealt with by an adjustment to receipts . 

• 

The focus on those supplies to final consumption consistently subject to standard-rate 
VAT  only,  together  with  the  proposed  centralized  calculation  of  a  single  EU-wide 
average  proportion  for  such  transactions  eliminates  the  need  for  Member  States  to 
calculate a weighted average rate (WAR).  

The proposed method thus constitutes an enormous simplification of the system while making 
it more transparent and predictable with only limited loss of accuracy. 

1.3.  Making the new VAT own resource available to the EU budget 

1.3.1.  Basic principles 

The  proposed  arrangements  for  making  the  own  resource  available  and  for  the  other 
accounting  and  administrative  issues  are  a  combination  of  the  relevant  elements  from  the 
previous  VAT-based  own  resource  arrangements  together  with  those  for  traditional  own 
resources. Two major features of the proposal need to be highlighted: 

• 

• 

The  entitlement  to  the  own  resource  will  arise  only  when  a  Member  State  has 
actually  collected  the  revenue.  This  will  create  a  close  and  automatic  link  between 
the national VAT receipts and economic circumstances, and the EU budget. The new 
VAT own resource will be directly impacted by EU and national VAT policies.  

To  enable  the  own  resource  to  be  collected  more  rapidly  and  more  efficiently  it  is 
proposed  that  the  revenue  be  made  available  via  a  system  of  monthly  statements 
giving a clear date by which amounts of own resources must be made available. The 
amounts  will  be  transferred  to  the  same  account  as  is  used  for  the  other  own 
resources.  

In this context, it should also be noted that with the Green Paper on the future of VAT4, the 
Commission launched an initiative to reform the VAT system in order inter alia to broaden 
the  tax  base  and  limit  fraud  and  avoidance.  The  proposed  new  VAT  own  resource  is 
sufficiently flexible to continue to work with the changes resulting from that reform. 

1.3.2.  Main advantages compared to the current system 

The proposed procedure for making the new VAT own resource available to the EU budget is 
considerably simpler and more transparent than the current VAT-based own resource. 

Using  receipts  actually  obtained  by  the  Member  States  will  eliminate  the  need  for  forecast 
exercises  and  subsequent  adjustments  plus  end  of  year  VAT  balance  exercises.  This  will 
significantly reduce the administrative management and the related costs of the resource. 

The content of the legal proposal is summarised overleaf:  

4 

COM(2010) 695, 1.12.2010. Commission Staff Working Document, SEC(2010) 1455, 1.12.2010. 

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2. 

LEGAL ELEMENTS OF THE PROPOSAL 

2.1 

Introduction 

This  proposal  forms  part  of  a  package,  which  also  includes  a  proposal  for  a  proposal  for  a 
Council Regulation concerning the arrangements for making available to the EU budget the 
own  resource  based  on  the  financial  transaction  tax5  as  well  as  an  amended  recast  of  the 
existing Council Regulation on making available the traditional own resources and the GNI-
based own resource6.  

The  Commission  will  examine  the  possibility  to  consolidate  the  provisions  for  determining 
and making available all the own resources of the Union in one single Regulation following 
an overall agreement on the own resources package.  

2.2 

Chapter I 'General Provisions' 

– 

– 

– 

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6 

7 

Article  1  of  the  proposal,  'Subject  matter'  .  This  Article  specifies  that  the  proposed 
arrangements  apply  to  the  new  VAT  own  resource  set  out  in  Article 2(1)(c)  of 
Decision […/...] 

Article  2  of  the  proposal,  'Definitions'  explains  firstly  the  concept  of  'supplies'  as 
used in this Regulation by referring to Title IV of Council Directive 2006/112/EC7.  

In  addition  this  Article  sets  out  the  characteristics  of  supplies,  acquisitions  and 
importations which are chargeable for the purposes of the new VAT own resource. 
Any  taxable  transaction  in  the  sense  of  Title  IV  of  Council  Directive  2006/112/EC 
which  is  subject  to  a  standard-rate  of  VAT  in  every  Member  State  throughout  the 
European Union will be so chargeable. It will not be necessary for a supply actually 
to have been subject to a VAT charge for it to be considered a chargeable supply for 
the purposes of this Regulation. The chargeability of the supply will be governed by 
the  liability  of  the  transaction  rather  than  its  actual  circumtances.  So  a  supply  of 
goods or services properly subject to a reduced rate of VAT in accordance with the 
provisions  of  Directive  2006/112/EC  in  any  Member  State  of  the  Union  is  not  a 
chargeable supply regardless of the fact that the same transaction might actually be 
liable to the standard-rate of VAT in one or more other Member States in the Union. 
Similarly a supply of goods or services properly exempted from VAT, or exempted 
from  VAT  with  a  right  to  deduct  VAT  at  the  preceding  stage  under  that  same 
Directive in one or more Member States is not a chargeable supply. 

Article 3 of the proposal, 'Union average of chargeable supplies' This Article sets out 
the concept of obtaining a single EU-wide proportion of chargeable supplies for use 
in calculating the monthly value of the share in the new VAT own resource together 
with  the  frequency  with  which  it  shall  be  determined.  In  preparing  the  average 
proportion the Commission, or the body so appointed by the Commission, may need 
to  approach  the  authorities  of  Member  Sates  to  obtain  information  and  views. 

Proposal for a Council Regulation on the methods and procedure for making available the own resource 
based on the financial transaction tax, COM(2011)738 of 9.11.2011. 
Proposal  for  a  Council  Regulation  on  the methods and procedure for making  available  the  traditional 
and  GNI-based  own  resources  and  on  the  measures  to  meet  cash  requirements,  COM(2011)742  of 
9.11.2011 amending COM (2011)512 of 29.6.2011. 
OJ L 347 11.12.2006 p.1.  

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Member  States  should  therefore  ensure  that  the  relevant  departments  or  agencies 
provide  the  authorised  agents  with  the  assistance  necessary  for  carrying  out  their 
duties. 

2.3 Chapter II 'Calculating the share' 

– 

– 

Article 4 of the proposal, 'Calculation method': This Article sets out the steps to be 
followed to calculate a Member State's contributions to the new VAT own resource. 
The proposed method is very different to that used previously. The key variation is 
the provisions by the Commission of a single average proportion that will represent 
the  proportion  of  taxable  supplies  to  final  consumption  which  are  subject  to  a 
standard-rate  of  VAT  throughout  the  EU.  Each  Member  State  will  apply  this  same 
proportion  for  the  calculation  and  it  will  normally  continue  for  the  full  period  of  a 
financial framework. This proportion will be applied to that Member State's net VAT 
receipts  figure  –  once  any  necessary  adjustments  have  been  made  to  include  any 
peripheral receipts and to exclude any amounts that although related to VAT are not 
direct VAT receipts. Furthermore, some Member States will also need to adjust their 
initial  figures to take account of refunds made to non-taxable  persons or to taxable 
persons  for  other  than  taxable  supplies,  where  those  refunds  are  not  in  accordance 
with the provisions of Directive 2006/112/EC. The resulting value will be grossed-up 
to the tax-exclusive value of supplies by using the VAT standard-rate applied within 
the relevant Member State. That chargeable base value will then be subject to a share 
set out in Regulation […/…]. 

Article 5 of the proposal, 'Calculation periods' proposes that Member States be given 
the  maximum  flexibility  to  make  the  periods  used  to  make  the  new  VAT  own 
resource calculations mesh with the accounting arrangements they have in place and 
thus avoid the need for adjustments to receipts solely for issues of timing. 

2.4 Chapter III 'Making the new VAT own resource available' 

– 

– 

8 

Article 6  of  the  proposal,  'Accounting  arrangements':  This  Article  sets  out  the 
arrangements proposed for the new VAT own resource which are equivalent to those 
already  in  use  under  Article  9  of  Regulation  1150/2000  for  the  existing  own 
resources.  The  summary  account  specified  may  be  incorporated  within  the  similar 
account kept for other own resources pursuant to Article 6(1) of Council Regulation 
(EC, Euratom) No 1150/20008. 

Article 7  of  the  proposal,  'Entry  in  the  accounts,  reporting  and  timing  for  making 
amounts available': This article sets out the arrangements proposed for the new VAT 
own  resource  which  are  equivalent  to  those  already  in  use  under  Regulation 
1150/2000 for the existing own resources. The same date by which the resource shall 
be  made  available  has  been  retained,  namely  the  first  working  day  of  the  month. 
Changes  to  the  previous  arrangements  for  VAT  include  the  use  of  a  monthly 
statement  to  be  furnished  at  least  ten  days  before  the  deadline  for  making  the 
resources available which is the first working day of the second month following the 
month in which the Member State obtained payment. Entry in the summary account 

This regulation is the subject of an amended proposal for a recast. The provision now appears in Article 
5 of the amended proposal for a recast. 

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should normally be made at the time when the monthly statement is sent, but in any 
event by the same deadline.  

– 

– 

Article 8 of the  proposal,  'Accounting corrections'  proposes that an equivalent time 
limit  to  that  currently  used  for  other  own  resources  under  Article  7  of  Regulation 
1150/20009 applies to the new VAT own resource too. 

Article 9  of  the  proposal,  'Interest  on  amounts  made  available  belatedly':  It  is 
proposed that any delays in making the new VAT own resource available be subject 
to  an  interest  regime  equivalent  to  that  currently  applied  under  Article  11  of 
Regulation 1150/2000.10 

2.5 Chapter IV 'Administrative arrangements' 

– 

Articles 10  and  11  of  the  proposal,  'Conservation  of  supporting  documents'  and 
'Administrative cooperation' propose that the obligations currently laid upon Member 
States  concerning  the  other  own  resources  under  Articles  3  and  4  respectively  of 
Regulation 1150/200011 be similarly applied for the new VAT own resource.  

2.6 Chapter V 'Final Provisions' 

– 

Article  12  of  the  proposal  'Committee  Procedure':  Provides  for  the  new  VAT  own 
resource  to  be  dealt  with  by  the  Advisory  Committee  on  Own  Resources  (ACOR) 
currently operating under Article 20 of Regulation 1150/2000 and in accordance with 
Regulation (EU) No 182/2011.  

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This regulation is the subject of an amended proposal for a recast. The provision now appears in Article 
6 of the amended proposal for a recast. 
This regulation is the subject of an amended proposal for a recast. The provision now appears in Article 
11 of the amended proposal for a recast. 
This  regulation  is  the  subject  of  an  amended  proposal  for  a  recast.  The  provision  now  appears  in 
Articles 3 and 4 of the amended proposal for a recast. 

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2011/0333 (CNS) 

Proposal for a 

COUNCIL REGULATION 

on the methods and procedure for making available the own resource based on the value 
added tax 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Article  322(2)  thereof  in  conjunction  with  the  Treaty  establishing  the  European  Atomic 
Energy Community12, and in particular Article 106a thereof, 

Having regard to the proposal from the European Commission, 

Having regard to the opinion of the European Parliament13,  

Having regard to the opinion of the European Court of Auditors14,  

Whereas: 

(1) 

(2) 

(3) 

(4) 

The own resource of the Union based on a share of the value added tax (VAT) referred 
to in Article 2(1)(c) of Council Decision […/…] on the system of own resources of the 
European  Union  (hereinafter  "VAT  own  resource")  should  be  made  available  to  the 
Union  in  the  best  possible  conditions  and  accordingly  rules  should  be  laid  down  for 
the Member States on making that resource available to the Commission. 

For  the  sake  of  simplicity  and  transparency,  and  in  order  to  reduce  administrative 
costs,  an  Union  average  proportion  of  the  value  of  chargeable  supplies  compared  to 
the value of total supplies should be determined.  

The  arrangements  for  calculating  the  VAT  own  resource  should  be  determined  in  a 
uniform manner. 

The  VAT  own  resource  should  be  made  available  in  the  form  of  an  entry  of  the 
amounts due in an account opened for this purpose under Council Regulation […/...] 
on the methods and procedure for making available the traditional and GNI-based own 
resources  and  on  the  measures  to  meet  cash  requirements15.  In  order  to  restrict  the 
movements  of  funds  to  what  is  necessary  for  the  implementation  of  the  budget,  the 
Union should limit itself to drawing on those accounts only to cover the Commission's 
cash requirements. 

12 
13 
14 
15 

OJ L […], […], p. […]. 
OJ L […], […], p. […]. 
OJ L […], […], p. […]. 
OJ L […], […], p. […]. 

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(5)  Member  States  should  pay  interest  in  the  event  of  delays  in  entering  the  VAT  own 
resource  in  the  accounts.  In  accordance  with  the  principle  of  sound  financial 
management,  care  should  be  taken  that  the  cost  of  recovery  of  interest  due  does  not 
exceed the amount of the interest payable. 

(6)  Member States should keep at the disposal of the Commission and, where necessary, 
forward to it the documents and information needed to allow it to exercise the power 
conferred upon it as regards the own resources of the Union. 

(7) 

(8) 

(9) 

The national authorities responsible for the collection of own resources should be able 
to  provide  the  Commission  at  all  times  with  the  documents  substantiating  the  own 
resources collected. 

It  is  necessary  to  ensure  close  collaboration  between  Member  States  and  the 
Commission  in  order  to  facilitate  proper  application  of  the  financial  rules  relating  to 
own resources. 

In  order  to  ensure  uniform  conditions  for  the  implementation  of  this  Regulation, 
implementing powers should be conferred on the Commission. Those powers should 
be  exercised  in  accordance  with  Regulation  (EU)  No  182/2011  of  the  European 
Parliament and of the Council of 16 February 2011 laying down the rules and general 
principles concerning mechanisms for control by Member States of the Commission’s 
exercise of implementing powers16. 

(10)  The advisory procedure should be used for the adoption of implementing acts in order 
to establish detailed rules for the monthly statements of the accounts for the VAT own 
resource,  and  for  determining  and  updating  the  Union  average  proportion,  given  the 
technical nature of those measures. 

(11)  Council  Regulation  (EEC,  Euratom)  No  1553/89  of  29  May  1989  on  the  definitive 
uniform arrangements for the collection of own resources accruing from value added 
tax17 should be repealed. 

(12)  This Regulation should apply on the same day as Decision […/…],  

16 
17 

OJ L 55, 28.2.2011, p. 13. 
OJ L 155, 7.6.1989, p. 9. 

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HAS ADOPTED THIS REGULATION: 

CHAPTER I 

GENERAL PROVISIONS 

Article 1 

Subject matter 

This regulation lays down rules on calculating and making available to the Commission the 
own  resource  of  the  Union  based  on  a  share  of  the  value  added  tax  (VAT),  referred  to  in 
Article 2(1)(c) of Decision […./….] (hereinafter "VAT own resource"). 

Article 2 

Definitions 

For the purposes of this Regulation, the following definitions apply: 

(1) "supply" means a supply of goods or services, intra-community acquisitions of goods and 
importations of goods as defined by Title IV of Council Directive 2006/112/EC18;  

(2) "chargeable supply" means a supply subject to the standard rate of VAT applied in every 
Member State.  

Article 3 

Union average proportion of chargeable supplies 

1.  The  Commission  shall  determine,  prior  to  the  start  of  each  multi-annual  financial 
framework, a single Union average proportion of the value of chargeable supplies compared 
to the value of total supplies. This proportion shall be expressed as a percentage.  

2. The Union average proportion referred to in paragraph 1 shall be used for the duration of a 
multi-annual financial framework. 

However,  the  Commission  may  decide,  on  the  basis  of  duly  justified  reasons,  to  update  the 
Union  average  proportion.  The  updated  proportion  shall  apply  as  from  the  beginning  of  the 
calendar year following the update.  

18 

OJ L 347, 11.12.2006, p. 1. 

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3. Member States shall provide the Commission, or the body appointed by the Commission, 
with the assistance and the information necessary to determine and update the Union average 
proportion referred to in paragraph 1.  

4. The Commission shall adopt implementing acts for the determination and the update of the 
Union average proportion, referred to in paragraph 1 and 2 of this Article, respectively. Those 
implementing acts shall be adopted in accordance with the advisory procedure referred to in 
Article 12(2). 

CHAPTER II 

CALCULATING THE VAT OWN RESOURCE 

Article 4 

Calculation method 

1.  For  any  given  month  the  VAT  own  resource  shall  be  calculated  by  each  Member  State 
using the net total of VAT collected by that Member State during the preceding month. That 
amount shall be corrected to take account of: 

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

any payments received in respect of any penalties charged because of the failure by a 
taxable  person  to  fulfil  any  obligation  related  to  VAT,  or  payments  received  in 
respect of any interest payable because these obligations were discharged belatedly; 

any  amounts  which  should  be  treated  for  own  resource  purposes  as  being 
transactions  originating  in  or  destined  for  a  Member  State  although  originating  or 
destined for a third territory according to Article 6 of Directive 2006/112/EC;  

any  amounts  accruing  from  one  of  the  places  referred  to  in  Article  7  of  Directive 
2006/112/EC,  insofar  as  Member  States  can  show  that  the  revenue  has  been 
transferred to that place;  

any  amounts  which  are  revenue  accruing  to  another  Member  State,  insofar  as 
Member States can show that the revenue has been so transferred;  

any adjustment required as a result of the application of a second or lower standard-
rate  in  specific  locations  pursuant  to  Article  104  or  105  or  120  of  Directive 
2006/112/EC;  

refunds or repayments made for social and similar reasons to non-taxable persons or 
for  non-taxable  activities  except  any  such  items  permitted  under  Directive 
2006/112/EC. 

2.  The  amount  obtained  according  to  paragraph  1  shall  be  multiplied  by  the  Union  average 
proportion of chargeable supplies made to final consumption, referred to in Article 3.  

3. The result from paragraph 2 shall be multiplied by the reciprocal of the standard-rate VAT 
percentage applicable in that Member State pursuant to Directive 2006/112/EC.  

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4. The result from paragraph 3 shall be multiplied by the percentage set out in Article 1(2) of 
Regulation […/…] to obtain the VAT own resource to be made available to the Union budget. 

Article 5 

Calculation periods 

1. The VAT own resource shall be calculated on the basis of calendar months. 

2. By way of derogation from paragraph 1, periods other than calendar months may be used to 
calculate  the  VAT  own  resource  without  any  adjustment  other  than  those  set  out  in  Article 
4(1) in either of the following cases: 

(a)  where  Member  States  operate  their  accounting  arrangements  on  the  basis  of  standard-
accounting periods not identical to calendar months; 

(b) where Member States make particular arrangements at certain times of the year to close 
normal accounting periods.  

3.  Where  a  Member  State  introduces  a  change  in  its  standard-rate  of  VAT,  the  revised  rate 
shall  be  used  for  the  purpose  of  applying  Article  4(3)  as  from  the  first  day  of  the  second 
month following the month in which the new standard-rate took effect.  

CHAPTER III 

MAKING THE VAT OWNRESOURCE AVAILABLE 

Article 6 

Accounting arrangements 

1. Each Member State shall credit the VAT own resource to the account opened pursuant to 
Article 9 of Council Regulation (EC, Euratom) 1150/200019 in the name of the Commission 
with its Treasury or the body it has appointed. 

2.  Member  States  or  the  bodies  appointed  by  them  shall  transmit  to  the  Commission  by 
electronic means: 

(a)  at  the  latest  on  the  second  working  day  following  the  crediting  to  the  account  of  the 
Commission, a statement of account showing the entry of the VAT own resource; 

(b) where the statement referred to in point (a) is not available on the working day on which 
the own resources are credited to the account of the Commission, a credit advice showing the 
entry of the VAT own resource; 

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OJ L 130, 31.5.2000, p.1. 

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3. The amounts credited shall be accounted for in euro in accordance with Council Regulation 
EC, Euratom No 1605/200220. 

4.  A  summary  account  for  the  VAT  own  resource  shall  be  kept  by  the  Treasury  of  each 
Member State or by the body appointed by each Member State.  

Article 7 

Entry in the accounts, reporting and timing for making available 

1. Amounts calculated in accordance with Article 4 shall be entered in the accounts specified 
in Article 6(1), on the first working day of the second calendar month following the month for 
which the calculation was made. 

2. At least ten working days before the date specified in paragraph 1, each Member State shall 
send to the Commission a monthly statement of the accounts for the VAT own resource. 

3. An entry in the summary account specified in Article 6(4) shall be made at the latest by the 
first working day of the second calendar month following the month for which the calculation 
was made. 

4. The Commission shall adopt implementing acts establishing detailed rules for the monthly 
statements referred to in paragraph 2 of this Article. Those implementing acts shall be adopted 
in accordance with the advisory procedure referred to in Article 12(2). 

Article 8 

Accounting corrections 

Member States shall notify to the Commission any corrections to the monthly statements sent 
in under Article 7(2).  

After  31  December  of  the  third  year  following  a  given  year  no  further  corrections  shall  be 
made to the monthly statements for the year in question, except on points notified before that 
date either by the Commission or by the Member State concerned.  

Article 9 

Interest on amounts made available belatedly 

1. Any delay in making the entry in the account referred to in Article 6(1) shall give rise to the 
payment of interest by the Member State concerned.  

However, recovery of amounts of interest below EUR 500 shall be waived. 

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OJ L 248, 16.9.2002, p. 1) 

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2. Interest shall be levied at the rates and conditions provided for in Article 11(2) and (3) of 
Regulation (EC, Euratom) No 1150/2000.  

3.  For  the  payment  of  interest  referred  to  in  paragraph  1,  Article  6(2)  and  (3)  shall  apply 
mutatis mutandis. 

CHAPTER IV 

ADMINISTRATIVE ARRANGEMENTS 

Article 10 

Conservation of supporting documents 

Member  States  shall  take  all  appropriate  measures  to  ensure  that  the  supporting  documents 
concerning making the VAT own resource available are kept for at least three calendar years, 
counting from the end of the year to which these supporting documents refer. 

If verification pursuant to Article 5 of Regulation (EU) […/…] of the supporting documents 
referred  to  in  the  first  subparagraph  shows  that  a  correction  is  required,  they  shall  be  kept 
beyond the time limit provided for in the first subparagraph for a sufficient period to permit 
the correction to be made and monitored. 

Where a dispute between a Member State and the Commission concerning the obligation to 
make available a certain amount of VAT own resource is settled by mutual agreement or by a 
decision of the Court of Justice of the European Union, the Member State shall transmit the 
supporting  documents  necessary  for  the  financial  follow-up  to  the  Commission  within  two 
months after that settlement.  

Article 11 

Administrative cooperation 

1. Each Member State shall provide the Commission with the following information: 

(a) 

(b) 

the names of the departments or agencies responsible for collecting, controlling and 
making available the VAT own resource and the basic provisions relating to the role 
and operation of those departments and agencies; 

the  general  provisions  laid  down  by  law,  regulation  or  administrative  action  and 
those  relating  to  the  accounting  procedures  concerning  the  collection  of  VAT, 
calculating  the  VAT  own  resource  contributions  and  making  them  available  to  the 
Commission; 

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(c) 

the precise title of all administrative and accounting records in which is entered the 
VAT own resource, in particular those used for drawing up the calculation provided 
for in Article 4 and the accounts provided for in Article 7. 

The Commission shall be informed immediately of any change in that information. 

2. The Commission shall, at the request of a Member State, transmit to all Member States the 
information referred to in paragraph 1. 

CHAPTER V 

FINAL PROVISIONS  

Article 12 

Committee procedure 

1. 

2. 

The  Commission  shall  be  assisted  by  the  Advisory  Committee  on  Own  Resources 
established  by  Regulation  (EU)  No  […/…].  That  committee  shall  be  a  committee 
within the meaning of Regulation (EU) No 182/2011. 

Where  reference  is  made  to  this  paragraph,  Article  4  of  Regulation  (EU)  No 
182/2011 shall apply. 

Article 13 

Regulation  (EEC,  Euratom)  No  1553/89  is  repealed.  However,  the  provisions  of  that 
Regulation  shall  continue  to  apply  for  calculating  and  making  available  own  resources 
accruing from value added tax collected by Member States before 1 January 2014.  

Article 14 

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

It shall apply from 1 January 2014. 

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

Done at Brussels, 

For the Council 
The President 

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