EU: Indirect Taxation
The EU Council of Ministers have adopted a directive recasting the Directive on the common system of value added tax (‘Sixth VAT Directive’).
The recast aims at enhancing clarity, rationality and simplification of legislation in the VAT area. The new Directive (2006/112/EC) will enter into force on 1 January 2007.
Other news on indirect taxation
The EU Council has approved conclusions on a number of taxation issues. This includes the VAT package; an extension of the VAT on e-services directive; combating tax fraud, and also harmful tax competition as regards business taxation.
The EU have issued a combined press release, which is available http://www.consilium.europa.eu/ueDocs/cms_Data/docs/pressData/en/ecofin/91899.pdf