Press Release: VAT rules on vouchers approved by Council

On 27 June 2016, the Council of the European Union adopted a directive aimed at increasing legal certainty for transactions involving vouchers by harmonising national VAT rules in this area.

The directive set out to reduce the risk of mismatches in national tax rules leading to double taxation, non-taxation or other undesired consequences. This can happen where a voucher is issued in one member state and used in another, and particularly where vouchers are traded.

The member states had until 31 December 2018 to transpose the directive into national laws and regulations. Provisions only applied to vouchers issued after that date.

The directive was adopted without discussion at a meeting of the Agriculture and Fisheries Council.

• Primary Source

ESO: Background information: Agriculture and Fisheries Council, 27-28 June 2016 http://www.europeansources.info/record/agriculture-and-fisheries-council-27-28-june-2016/

---