CELEX: 51979PC0181
Language: en
Date: 1979-04-10
Title: PROPOSAL FOR A TENTH COUNCIL DIRECTIVE ON THE HARMONIZATION OF THE LAWS OF THE MEMBER STATES RELATING TO TURNOVER TAXES, SUPPLEMENTING DIRECTIVE 77/388/EEC - APPLICATION OF VALUE ADDED TAX TO THE HIRING OUT OF MOVABLE TANGIBLE PROPERTY

N o C 116/4                           Official Journal of the European Communities                                9.5.79
                                                            II
                                                    (Preparatory Acts)
                                               COMMISSION
              Proposal for a 10th Council Directive on the harmonization of the laws of the Member
              States relating to turnover taxes, supplementing Directive 77/388/EEC on the application
                            of value added tax to the hiring out of movable tangible property
                             (Submitted by the Commission to the Council on 23 April 1979)
THE COUNCIL OF THE EUROPEAN                                      customer in the same country or in another Member
COMMUNITIES,                                                     State by a taxable person established abroad;
Having regard to the Treaty establishing the                     Whereas, in such cases, application of Article 9 (1) of
European Economic Community, and in particular                   the aforementioned Directive may give rise to
Articles 99 and 100 thereof,                                     practical difficulties, particularly where a single
                                                                 operation is involved;
Having regard to the Sixth Council Directive
 77/388/EEC of 17 May 1977 on the harmonization                  Whereas it is therefore necessary to provide for the
 of the laws of the Member States relating to turnover           irrebuttable presumption that the supplier is
 taxes — Common system of value added tax: uniform               established in the country in which the property is at
 bases of assessment ('),                                        the time it is actually made available to the customer;
 Having regard to the proposal from the Commission,              Whereas, however, such a legal fiction should not be
                                                                 created with regard to the hiring out of forms of
 Having regard to the opinion of the European Par-               transport; whereas Article 9 (1) should, in particular,
                                                                 for reasons of control, be strictly applied, the place
 liament,
                                                                 where the supplier has established his business being
                                                                 treated as the place of supply of such services,
 Having regard to the opinion of the Economic and
 Social Committee,
 Whereas, pursuant to Article 4 (2) of the
 aforementioned Directive, the hiring out of movable              HAS ADOPTED THIS DIRECTIVE:
 tangible property may constitute an economic activity
 subject to value added tax;
                                                                                           Article 1
 Whereas any person exercising an economic activity
                                                                  The following subparagraph shall be added to Article
 within a Member State must satisfy the obligations
                                                                  9 (1) of Council Directive 77/388/EEC of 17 May
  laid down in Article 22 of the aforementioned
                                                                  1977:
  Directive;
                                                                     'In the case of the hiring out of movable tangible
  Whereas movable tangible property may be hired out
                                                                     property, other than forms of transport, the
  in a Member State and placed at the disposal of a
                                                                     supplier shall be deemed to have established his
                                                                     business at the place where the property is at the
  O OJ No L 145, 13. 6. 1977.                                        time it is actually made available to the customer.'
 ---pagebreak--- 9. 5. 79                           Official Journal of the European Communities                             N o C 116/5
                          Article 2                             applying this Directive. The Commission shall inform
                                                                the other Member States thereof.
 1.    Member States shall bring into force the
 measures necessary to comply with this Directive not
 later than 1 January 1980.
                                                                                         Article 3
 2.    Member States shall inform the Commission of
 the provisions which they adopt for the purpose of             This Directive is addressed to the Member States.
               Proposal for a Council Regulation amending the Financial Regulation of 21 December
                           1977 applicable to the general budget of the European Communities
                              (Submitted by the Commission to the Council on 23 April 1979)
 THE COUNCIL OF THE EUROPEAN                                    HAS ADOPTED THIS REGULATION:
 COMMUNITIES,
 Having regard to the Treaty establishing the                                            Article 1
 European Coal and Steel Community, and in
particular Article 78h thereof,                                 The Financial Regulation of 21 December 1977 is
                                                                hereby amended as follows:
 Having regard to the Treaty establishing the
 European Economic Community, and in particular                 1. The first subparagraph of Article 6 (3) shall be
Article 209 thereof,                                               replaced by the following:
Having regard to the Treaty establishing the                       '3.    In the case of the appropriations referred to
European Atomic Energy Community, and in                           in paragraph 1 (b), the Commission shall transmit
particular Article 183 thereof,                                    to the Council and shall forward to the European
                                                                   Parliament, not later than 21 February, the
Having regard to the proposal from the Commission,                 requests to carry over appropriations, duly sub-
                                                                   stantiated, made by the European Parliament, the
                                                                   Council, the Court of Justice, the Court of
Having regard to the opinion of the European Par-
                                                                   Auditors and the Commission itself.'
liament,
Having regard to the opinion of the Court of
Auditors,                                                       2. The introductory paragraph of Article 73 shall be
                                                                   replaced by the following:
Whereas, in the interests of greater simplicity and
clarity in the keeping of accounts, it would appear                'The Commission shall draw up, not later than 1
appropriate to abolish the additional period for                   April of the following year, a revenue and
entering in the accounts expenditure under the                     expenditure account for the Communities, which
EAGGF Guarantee Section;                                           shall include the following documents classified
                                                                   in accordance with the budget nomenclature:'
Whereas the abolition of this period would permit a                (remainder unchanged).
more rational scheduling of the time limits governing
the procedure for the rendering and auditing of the
accounts;                                                       3. Article 74 shall be replaced by the following:
Whereas, to this end, certain provisions of the                    'Each institution shall, not later than 15 February,
Financial Regulation of 21 December 1977 (') must                  forward to the Commission the information
be amended,                                                        required for drawing up the revenue and
                                                                   expenditure account and the balance sheet,
                                                                   together with a contribution to the analysis of the
(') OJ No L 356, 31. 12. 1977, p. 1.                               financial management referred to in Article 75.'