The Union and the United Kingdom intend to examine the possibility to adopt a Joint Committee decision, based on Article 4 of Decision No 1/2023 (1), providing for the rules on rates laid down in Article 98, read in conjunction with Annex III, of Council Directive 2006/112/EC (2) not to apply to certain goods, other than goods supplied and installed in immovable property located in Northern Ireland by taxable persons. That decision would only relate to such goods which by their nature and by the conditions under which they are supplied would be subject to final consumption in Northern Ireland, and in relation to which not applying the rules on rates laid down in Article 98, read in conjunction with Annex III, of Directive 2006/112/EC would not lead to a negative impact on the Union’s internal market in the form of fiscal fraud risks and any potential distortion of competition. Such a decision should establish a detailed list that would be valid for five years. The Union and the United Kingdom indicate their willingness to evaluate and revise such a list on a regular basis.
The Union and the United Kingdom also intend to evaluate the current VAT arrangements for cross-border refunds under Council Directive 2008/9/EC (3) and Council Directive 86/560/EEC (4) and examine the need to adopt, if appropriate, based on Article 4 of Decision No 1/2023, a Joint Committee decision whereby any necessary adjustments would be laid down or refund arrangements would only be limited to the application of Directive 86/560/EEC. Such evaluation should take account of the administrative burden on taxable persons as well as administrative costs on tax administrations.
Source: eur-lex.europa.eu
