The European Commission has referred The Netherlands to the EU's Court of Justice for failing to properly implement EU VAT rules for travel agents.

The VAT Directive 2006/112/EC contains as special margin scheme rules for travel agents when they sell travel packages to travellers. The Directive provides for a simplified application of VAT for travel agents where elements of a holiday package is located in different countries with different VAT rules, However, the scheme does not apply to travel agents who sell holiday packages to other companies, in particular to other travel agents for re-sale. The Netherlands has failed to properly implement the special margin scheme and has applied it to sales between travel agents according to the Commission. The Commission sent a reasoned opinion (second step of an infringement proceeding) to The Netherlands in February 2008 Although Dutch authorities informed the Commission that they would bring their law into line with the VAT Directive as of 1 April 2011, they still have not done so.