The European Commission has rejected a request by a number of EU Member States to apply the reverse charge for value added tax (VAT) for all domestic supplies exceeding EUR 10,000. The rejection is included in a communication to the EU Council dated 28 October 2015.
The request was made by Austria, Bulgaria, the Czech Republic and the Slovak Republic in order to combat VAT fraud. In the Commission's view, such broad application of the reverse charge is beyond the scope of derogation allowed…