CELEX: 51986PC0163
Language: en
Date: 1986-03-21
Title: AMENDED PROPOSAL FOR A SIXTEENTH COUNCIL DIRECTIVE ON THE HARMONIZATION OF THE LAWS OF THE MEMBER STATES RELATING TO TURNOVER TAXES - COMMON SYSTEM OF VALUE ADDED TAX: COMMON SCHEME FOR CERTAIN GOODS ON WHICH VALUE ADDED TAX HAS BEEN FINALLY PAID AND WHICH ARE IMPORTED BY A FINAL CONSUMER IN ONE MEMBER STATE FROM ANOTHER MEMBER STATE

24.4.86                                 Official Journal of the European Communities                              No C 96/5
                                                                II
                                                        (Preparatory Acts)
                                                  COMMISSION
              Amended proposal for a 16th Council Directive on the harmonization of the laws of the
              Member States relating to turnover taxes — Common system of value added tax: common
              scheme for certain goods on which value added tax has been finally paid and which are imported
                          by a final consumer in one Member State from another Member State (')
                                                       COM(86) 163 final
              (Submitted by the Commission to the Council pursuant to the second paragraph of Article 149 of
                                               the EEC Treaty on 25 March 1986)
                                                          (86/C 96/07)
THE COUNCIL OF THE EUROPEAN COMMUNITIES,                            granting an exemption from value added tax to final
                                                                    consumers who import into a Member State goods on
                                                                    which value added tax has been finally paid in another
Having regard to the Treaty establishing the European               Member State;
Economic Community, and in particular Articles 99 and
 100 thereof,
                                                                    Whereas certain categories of particularly valuable,
Having regard to the proposal from the Commission,                  good, and deemed to be new, means of transport should
                                                                    be excluded for the time being from this general rule of
                                                                    exemption or importation in the interest of avoiding
Having regard to the opinion of the European Par-                   distortions of competition due to the disparity in value
liament,                                                            added tax rates applied in the Member States;
Having regard to the opinion of the Economic and                    Whereas, until tax frontiers cease to exist, it is appro-
Social Committee (2),                                               priate to provide for the refund of tax on exportation
                                                                    and the charging of tax on importation on those goods
                                                                    which are excluded from the arrangements for
Whereas the main aim of the Treaty is to establish within
                                                                    exemption from value added tax on importation,
the framework of an economic union, a common market
within which there is healthy competition and whose
characteristics are similar to those of a domestic market;
                                                                    HAS ADOPTED THIS DIRECTIVE:
Whereas the European Council meeting at Fontaine-
bleau, on 25 and 26 June 1984, asked that an urgent                                          Article 1
study be carried out of the measures which would be
necessary in order to achieve within the near future the            Without prejudice to the application of other
abolition of all police and customs formalities for persons         Community provisions, Member States shall modify their
crossing internal Community frontiers;                              value added tax arrangements applicable to intra-
                                                                    Community trade in certain goods in the manner
                                                                    provided for in this Directive.
Whereas these measures were set out in the White Paper
establishing a programme with a timetable providing for
the achievement by 1992 of a large internal market, and
the Decision to implement this was adopted by the                                              Scope
European Council meeting in Milan on 28 and 29 June
1985;
                                                                                             Article 2
                                                                    The goods referred to in Article 1 are goods on which
Whereas until this objective has been attained it is appro-         value added tax has been finally paid in a Member State,
priate to encourage the free movement of goods by                   and which are then imported into another Member State
                                                                    by a final consumer, such goods having been either
C) OJ No C 226, 28. 8. 1984, p. 2.                                  imported, bought or received free of charge in a Member
(2) OJ No C 87, 9. 4. 1985, p. 19.                                  State.
 ---pagebreak---  No C 96/6                               Official Journal of the European Communities                                  24.4.86
                          Definitions                                                   Refund on exportation
                           Article 3                                                           Article 5
 For the purpose of this Directive:                                  1.     Exportation of goods referred to in Article 2 and
                                                                     not exempted under Article 4 (1) shall entitle the final
 (a) 'final consumer' means:                                         consumer exporting them to a refund by the exporting
                                                                     Member State of the residual value added tax borne by
                                                                    the goods provided they were taxed in accordance with
      1. any person who, with regard to the importation
                                                                    Article 2 of Directive 77/388/EEC when supplied within
         of goods referred to in Article 2, is not deemed to
         be a taxable person within the meaning of Article          the territory of the exporting Member State or when
         4 of Council Directive 77/388/EEC (>),                      imported into that Member State.
     2. a taxable person not entitled to deduct value               2.     The amount of value added tax to be refunded on
         added tax when purchasing the goods;                        exportation shall be equal to the residual value added
                                                                    tax, calculated by applying the value added tax rate
 (b) 'last taxed value' means the last taxable amount on            levied on the last taxed value to the value on exportation.
     which value added tax was charged when the goods               Such value shall be equal either to the declared price
     were supplied within the territory of a Member State           paid or to be paid by the purchaser or, where no such
     or were imported.                                              price is available, to the open-market value as defined in
                                                                    Article 11(B)(1)(b) of Directive 77/388/EEC and
                                                                    determined by the competent authorities of the exporting
                                                                    Member State.
               General provisions — Exemption
                                                                    However, if there is any suspicion of fraud in connection
                           Article 4
                                                                    with the declared price, the exporting Member State may
 1.    Goods imported by a final consumer and falling               take the open-market value instead.
within the scope of this Directive shall be exempt from
value added tax in the importing Member State where:
                                                                                               Article 6
(a) in the case of means of transport such as private
                                                                     1.    To qualify for the refund provided for in Article
     vehicles as defined in Article 2 (b) of Council
                                                                    5 (1), the final consumer must:
     Directive 83/182/EEC (2) caravans, pleasure boats
     and private aircraft, they were first supplied subject
     to value added tax more than four years prior to the           (a) prove that the exported goods attracted value added
     date of importation;                                                tax in the exporting Member State; to this end, he
                                                                         may produce either the original invoice, the
(b) in the case of goods other than those referred to at                 document issued in lieu thereof or the original
     (a):                                                                import document. These documents must indicate
                                                                         the nature of the goods and, where appropriate, the
     — they were first supplied subject to value added                   quantities involved and shall give the particulars
          tax more than one year prior to the date of                    necessary to compute the value added tax levied;
          importation, and
     — their value is not more than 10 times the amount
          specified in Article 2 of Council Directive               (b) lodge with the competent authorities in the exporting
          69/169/EEC (3) applicable at the moment of                     Member State within three months of importation a
          importation;                                                   refund application in accordance with Part A and B
                                                                         of the form set out in the Annex and an import cer-
                                                                         tificate in accordance with Part C, together with one
(c) in the case of goods not covered by (a) and (b), their               of the documents referred to at (a).
     value does not exceed the amount specified in Article
     2 of Council Directive 69/169/EEC and applicable
     at the moment of importation.                                  2.     Where the means of proof required under
                                                                    paragraph 1 (a) are not produced, the importing Member
2.     In the case of goods not satisfying the above                State may accept any other means of proof or may
exemption conditions, the provisions of the following               assume that value added tax was charged in the
Articles shall apply.                                               exporting Member State.
                                                                    3.     The exporting Member State shall refund the tax
(*) OJNo L 145, 13.6. 1977, p. 1.                                   within three months of the date of receipt of the
(2) OJ No L 105, 23. 4. 1983, p. 59.                                application. If fraud is suspected, it may extend the time
O OJNo L 133, 4. 6. 1969, p. 6.                                     limit for a further three months.
 ---pagebreak--- 24.4.86                                  Official Journal of the European Communities                                    No C 96/7
                  Taxation on importation                              2.    Member States shall give notification in an appro-
                                                                       priate manner of the authorities responsible for
                            Article 7                                  endorsing export and import documents and for
                                                                       receiving the applications referred to in Article 6 (1) (b).
Without prejudice to the application, where appropriate,
                                                                       The details relating to those authorities shall be given in
of Article 11 (B) (3) and (4) of Directive 77/388/EEC,
                                                                       a notice attached to the refund application forms.
the taxable amount for the goods referred to in Article 2
and not exempted under Article 4 (1) shall be the value
                                                                                                  Article 9
used by the exporting Member State for the purpose of
the refund less the amount of the value added tax to be                1.    Member States shall bring into force the laws, regu-
refunded, determined as provided for in Article 5 (2).                 lations and administrative provisions necessary to comply
The competent authorities in the importing Member                      with this Directive not later than 31 December 1986.
State shall hand over, duly endorsed, to the importer,                 They shall forthwith inform the Commission thereof.
Part C of the refund application form.
                                                                       2.    Member States shall communicate to the
                                                                       Commission the texts of the main provisions of national
                       Final provisions                                law which they adopt in the field governed by this
                                                                       Directive.
                            Article 8
                                                                                                 Article 10
1.    Member States may not impose any obligation
other than those laid down in this Directive.                          This Directive is addressed to the Member States.
                                                               ANNEX
             1. The declaration shall be drawn up in one of the official languages of the Community which is
                acceptable to the competent authorities of the Member State in which the dispatch formalities are
                completed. Where necessary, the customs authority of the Member State of destination may require
                from the declarant or his representative in that Member State a translation of the said declaration into
                the official language or one of the official languages of the latter. This translation shall replace the
                corresponding references in the declaration in question.
             2. Each form shall be made out in four copies (by duplication).
             3. Competent authorities in the Member States:
                Belgium
                Denmark
                Germany
                Greece
                France
                Ireland
                Italy
                Luxembourg
                Netherlands
                Portugal
                Spain
                United Kingdom
 ---pagebreak--- No C 96/8                                Official Journal of the European Communities                                     24. 4. 86
                                                               NOTICE
                         Goods subject to VAT: Intra-Community export Scheme — European Community
                                                   VAT DIRECTIVE 8 6 / . . ./EEC
           This leaflet is intended to help you fill out the forms prescribed by the Directive. The leaflet does not have
           the force of law.
          Who can benefit?
          Anyone who is not a taxable person (i.e. normally a private individual) who wants to export goods from
           one Member State to another. Different rules apply to purchases made by a taxable person.
          What is the Scheme?
          Under the Directive, many importations by private individuals of goods which have already borne VAT in
          the European Community, are exempt from payment of further VAT on importation. For the details of the
          scope of the exemption you should refer to the Directive itself; however three categories of goods are not
          eligible for the exemption and they are as follows:
          A. Private vehicles, caravans, pleasure boats and private aircraft which were first supplied subject to VAT
              less than four years prior to the date of importation.
          B. Goods which were first supplied subject to VAT less than one year prior to the date of importation.
          C. Goods which are worth more than 10 times the amount specified in Article 2 of Council Directive
              69/169/EEC and applicable at the moment of importation (i.e. 10 X 350 ECU from 1 October 1985).
           Note:   Goods whose value is below the amount applicable under Article 2 of Council Directive
                   69/169/EEC at the moment of importation (350 ECU from 1 October 1985) are entitled to
                   exemption from import VAT without any formalities.
          If the goods which you intend to import do not fall into one (or more) of the above three non-exempt
          categories they are eligible for exemption from VAT at importation provided you can prove (by means of
          supporting invoice(s)) to the importing authorities that the goods have borne VAT in a Member State of
          the European Community.
          The remainder of this notice deals with non-exempt goods. The Scheme enables you to export goods
          which you have obtained in one Member State to another Member State without suffering multiple
          taxation. Under the scheme you are normally entitled to a refund of the VAT borne by the goods in the
          exporting State as soon as you can show, by means of Part C of the attached form, that you have paid
          VAT in the importing State.
          If you bought the goods from a taxable person (a VAT registered trader), the amount of the VAT
          refundable is generally equal to the amount of VAT shown on the invoice, which you should attach to the
          form annexed. However, if the goods have depreciated in value the amount will be lower and will depend
          upon the valuation estimated by the competent authorities of the Member State of exportation.
          If you bought the goods from a non-taxable person (usually a private individual), the amount of VAT
          which you will receive as a refund will be the lesser of;
          — the amount of VAT implicitly comprised within the purchase price you paid to your supplier (the
              residual VAT),
          — the last amount of VAT charged by a taxable person (a VAT registered trader) on the sale of the
              goods; provided that the competent authorities of the Member State of exportation do not consider it
              necessary to revalue the goods.
          In order to get your refund you must complete the attached forms
          The goods to which the scheme applies can be of any kind, but they must have borne VAT at some stage
          which has not been reimbursed. The goods may be new or second-hand or have been given to you.
 ---pagebreak--- 24.4.86                               Official J o u r n a l of the E u r o p e a n C o m m u n i t i e s            No C 96/9
        The Member States are listed, together with their competent authorities overleaf. The Scheme applies
        between any of those States.
        The supplier can be a taxable person (someone who is registered for VAT — usually a shop or other
        business) or someone who is not subject to VAT (another private individual for example).
        How does the Scheme work?
        1. Fill out Part A of the attached form:
           if you bought the goods from a taxable person, follow the instructions in the left-hand column; if you
           obtained the goods from someone who was not a taxable person, follow the instructions in the right-
           hand column.
        2. Next you must present the form together with the required supporting documents to the competent
           authority of the exporting country as you take the goods out of the country (in practice this means the
           customs or tax office at the border of the exporting country at the point where you choose to import
           the goods). The authority will certify the accuracy of the details you have given in Part A and if
           necessary fix an estimated value.
        3. When you import the goods into the importing Member State the competent authority clearing the
           goods will fill out Part C and charge you any import VAT which may be due.
        4. Send the form (completed in all three parts) to the competent authority of the exporting Member State
           where VAT has been paid (see list overleaf) together with the supporting documents required.
        NB: To obtain a refund the competent authority of the exporting State must receive the completed form within
              three (3) months of the import date stamped in Part C.
 ---pagebreak--- No C 96/10                                  Official Journal of the European Communities                                              24. 4. 86
             G O O D S O N W H I C H VAT HAS BEEN PAID: SCHEME FOR PRIVATE INTRA-COMMUNITY IMPORTS
                                                                        PART A
                                                 Declaration to be completed by the exporter
 1. I declare that I am the owner of the following goods (nature, quantity, description, dimensions, type, chassis number and engine
    number where applicable):
2. Name and address of the supplier (the person from whom you acquired the goods) (if the goods were imported by or on behalf of
    the supplier in the country of exportation, indicate the customs or tax office of importation):
3. Date on which you bought, imported or were given the goods in the country of exportation:
4. IF T H E SUPPLIER WAS A TAXABLE PERSON FOR                                 IF T H E SUPPLIER WAS N O T A TAXABLE PERSON FOR
    VAT (A VAT REGISTERED TRADER) OR IF YOU                                  VAT (GENERALLY A PRIVATE INDIVIDUAL)
    IMPORTED T H E GOODS I N T O T H E COUNTRY OF
    EXPORTATION
        Fill in at (a) the VAT inclusive         (a)                                                       Fill in at (a) the price which you
        price which you paid for the                                                                       paid for the goods. If you received
        goods, on the value declared at                                                                    them as a 'present' or 'in ex-
        importation                                  (price in letters)                                    change', this should be stated.
                                                     (price in figures)
        Do not complete (b) and (c)              (b)                                                       Fill in at (b) the name and address
                                                                                                           of the last seller who charged VAT
                                                                                                           when selling the goods (a VAT
                                                                                                           registered trader)
                                                 (c)                                                       Fill in at (c) the VAT inclusive
                                                                                                           price which was paid to the last
                                                                                                           VAT registered trader
                                                     (price in letters)
                                                     (price in figures)
        Fill in at (d) the amount of VAT         (d)                                                       Fill in at (d) the amount of the
        included in the price shown at                                                                     VAT included in (c) (and the then
        (a) and the then current VAT                                                                       current VAT rate)
        rate
        Subtract the VAT shown at (d)            (e)                                                       Subtract the VAT shown at (d)
        from the full price shown at (a)                                                                   from the full price shown at (c) and
        and write the balance at (e)                                                                      write the balance at (e)
    You must on request produce the VAT invoice relating to                  You must produce an invoice or other recognized document
    the transaction.                                                         serving as an invoice, showing payment of the last VAT due.
                                                                             T H E A M O U N T REFUNDABLE IS EQUAL T O T H E LES-
                                                                             SER OF T H E FOLLOWING A M O U N T S :
                                                                             — T H E A M O U N T OF VAT COMPRISED W I T H I N T H E
                                                                                  PURCHASE PRICE W H I C H YOU PAID YOUR SUP-
                                                                                  PLIER (to be calculated on Part B by the competent autho-
                                                                                 rity of the exporting country), and
        T H E A M O U N T REFUNDABLE IS S H O W N AT (d)                     — T H E LAST A M O U N T OF VAT CHARGED BY A VAT
        ABOVE                                                                     REGISTERED TRADER O N T H E SALE OF T H E
                                                                                 GOODS
5. Your name, address and bank details                                       Name
                                                                             Address
                                                                             Bank details
6. I certify on my honour the truth of the information given above
                                                                                 Signature
                                                                                 Date
Name
Address
 ---pagebreak---  24. 4. 86                                     Official J o u r n a l of the E u r o p e a n C o m m u n i t i e s         N o C 96/11
                                                                         PARTB
     CERTIFICATE T O BE COMPLETED BY T H E C O M P E T E N T AUTHORITIES OF T H E EXPORTING MEMBER STATE
     To be completed by the customs or VAT office of the country of exportation through which the goods pass en route to exportation
 It is certified that the goods described in Part A are correctly described and that the price, the VAT and the invoice details shown on
 the form conform with VAT invoices, or other documents serving as such, produced.
 It is certified that
 Either (a) the value of the goods is equal to the amount declared at Part A
               (4) (a);
          (b) the rate of VAT applicable in the country of exportation to type of
               goods at the time of the last taxed transaction was                                                 %,
          (c) the amount declared at Part A (4) (a) is deemed to include an
               amount of residual VAT amounting to
          (d) this amount is refundable to the extent that it is less than the
               amount shown at Part A (4) (d) (last amount of VAT charged by a
               VAT registered trader on sale of the goods). If this condition is not
               fulfilled the amount shown at Part A (4) (a) is refundable.
          (a) the competent authorities of the exporting Member State estimate
               the value of the goods (excluding VAT) as
          (b) the rate of VAT applicable in the exempting country to this type of
               goods at the time of the last taxed transaction was
                                                                                                                   %,
          (c) an amount of VAT of
               is refundable
                                                                         PARTC
     CERTIFICATE T O BE COMPLETED BY T H E C O M P E T E N T AUTHORITIES O F T H E I M P O R T I N G MEMBER STATE
                  To be completed by the customs or VAT office through which the goods are imported into the Member State
It is certified that the goods described in Part A have been imported on
and that the VAT chargeable on this importation has been paid.
When the three parts of the form have been completed, you are requested to send the form, with the invoices referred to in it, to the
competent authorities of the Member State of exportation shown in the accompanying explanatory notice. This must be done within
three months from the date of importation shown in Part C. The Member State of exportation should, as a general rule, refund the
VAT within three months following receipt of the form.