Decision (EU) 2018/1492 authorising Latvia to introduce a special measure derogating from Article 193 of Directive 2006/112/EC on the common system of value added tax

Summary:

On 2 July 2018 the European Commission presented a proposal for a Council Implementing Decision authorising Latvia to introduce a special measure derogating from Article 193 of the VAT Directive.

The Council of the European Union adopted the Decision on 2 October 2018.

Further information:

On 9 April 2018, Latvia requested a derogation from Article 193 of Directive 2006/112/EC (the VAT Directive) in order to apply the reverse charge mechanism to supplies of ferrous and non-ferrous semi-finished metals due to recently discovered fraud schemes in the supplies of these products.

Under the reverse charge procedure, the taxable person to whom the supplies are made becomes liable for the payment of VAT. This mechanism should help Latvia to stop further spreading of VAT fraud relating to the supplies of metal products. The Commission therefore proposes to grant the derogation until 31 December 2018.

• Primary Source

EUR-Lex: COM(2018)509: Proposal for a Council Implementing Decision authorising Latvia to introduce a special measure derogating from Article 193 of Directive 2006/112/EC on the common system of value added tax https://eur-lex.europa.eu/legal-content/EN/HIS/?uri=COM:2018:509:FIN

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