News Article

Compromise on Special VAT Tariff Torpedoed

Laws & Regulations

BRUSSELS, Belgium (Jan 26) – The European commission has had a disappointing meeting on the low VAT tariffs for, among others, bike repairs. Poland, the Czech Republic and Cyprus have vetoed the proposal made by Austria, to postpone the decision until 2010. This would have given the Union time to investigate the possible positive effects […]

BRUSSELS, Belgium (Jan 26) – The European commission has had a disappointing meeting on the low VAT tariffs for, among others, bike repairs. Poland, the Czech Republic and Cyprus have vetoed the proposal made by Austria, to postpone the decision until 2010. This would have given the Union time to investigate the possible positive effects on employment. Poland and the Czech Republic want to include other business in the low tariff as well, like the building of new homes. End of this week, the countries will have to announce if they are willing to agree on second thought. If not, the matter will be reviewed in the next council of ministers. Dutch finance minister Zalm, said that he would not accept no for an answer, and if need be, would block other issues that were important to the objecting countries. (MH)

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