Press Release: VAT: Commission takes steps against Spain as regards the applicati on of the travel agents’ scheme

The European Commission formally requested Spain to amend its legislation with regard to the application of the special VAT 'margin' scheme for travel agents. The request was in the form of a reasoned opinion which is the second stage of the infringement proceedings provided for in Article 226 of the Treaty. If Spain fails to comply with the reasoned opinion within two months, the Commission may refer the matter to the Court of Justice of the European Communities.