NEWS
EU Businesses Face VAT Refund Delays
The European Commission (EC) has announced measures designed to ensure taxpayers do not lose out on their right to VAT refunds.
Due to delays by some European Union member states in implementing new VAT portals in January, 2010, the EC has extended the deadline for 2009 claims to March, 2011.
A proposal, adopted by the EC on July 15, would postpone the deadline for the submission of VAT refund requests related to 2009. In view of the late implementation by member states of the new VAT refund procedure, which came into force on January 1, 2010, the Commission proposes giving more time to taxpayers to introduce their requests for VAT refund. At the same time, the Commission proposes harmonizing some features of the national VAT refund web portals in order to make them more interoperable and accessible for taxpayers.
The VAT Refund Directive replaced the paper procedure for VAT refund requests which had been set out in legislation dating back to 1979. Under the previous paper procedure, taxpayers had to send original invoices to all member states in which they incurred VAT in order to receive a refund. The new Directive aims to simplify this process and to reduce administrative burdens by introducing an electronic procedure by which the taxpayer introduces a single refund request in his member state of establishment.
However, some of the national web portals were opened very late (mid-May for the last one) and numerous complaints have been received from business pointing to divergences between the different member states on some of the technical details relating to the practical operation of the national web portals.
Several initiatives have already been taken by the Commission to agree with member states on improvements in this area, but under the Directive the design of national web portals is entirely of the responsibility of each member state.
The Commission has proposed that it is granted with the power to adopt – subject to the positive opinion of the Standing Committee for Administrative Cooperation – technical provisions that will harmonize certain detailed requirements in this area, in order for the system to become fully interoperable.
Quelle: Tax-News.com
