EU VAT Cross-Border Rulings grows to 18 states

Thu 18th Feb 2016

Ireland and Italy have become the latest EU member states to joining the VAT Cross-Border Rulings pilot. The pilot has also been extended to 30 September 2018.

The pilot enables businesses to request guidance on the VAT treatment of cross border transactions. VAT registered businesses may apply for a ruling in their country of residence, and the tax authorities of that country will co-ordinate a response with the country of the second leg of the intra-community transaction, along with a translation into the language of the second country.

The pilot was launched in June 2013 by the VAT Forum, a grouping set-up by the European Commission to review practical VAT matters. To date, take up of the pilot has been disappointing with only 17 requests having been processed.