Preventing Double Taxation Through Administrative Cooperation in VAT
(2021) HARN60 20211Department of Business Law
- Abstract
- This paper analyses the role of administrative cooperation in the European
VAT system. It examines, to what extent Regulation 904/2010 obliges
Member States to prevent double taxation issues in VAT and how the system
of administrative cooperation could be amended to ensure a correct
assessment of VAT taking into account other resolution mechanisms.
The supporting role administrative cooperation has to the VAT Directive
necessarily implies its duty to prevent double taxation issues, especially
having regard to the aim of establishing an internal market and ensuring
coherence with the principle of neutrality.
The current system generally allows for an exchange of information between
Member States but does not impose an obligation... (More) - This paper analyses the role of administrative cooperation in the European
VAT system. It examines, to what extent Regulation 904/2010 obliges
Member States to prevent double taxation issues in VAT and how the system
of administrative cooperation could be amended to ensure a correct
assessment of VAT taking into account other resolution mechanisms.
The supporting role administrative cooperation has to the VAT Directive
necessarily implies its duty to prevent double taxation issues, especially
having regard to the aim of establishing an internal market and ensuring
coherence with the principle of neutrality.
The current system generally allows for an exchange of information between
Member States but does not impose an obligation for the tax administrations
to come to an agreement concerning the place of supply of a transaction. This
is confirmed in the judgements WebMindLicenses and KrakVet of the
European Court of Justice.
An analysis of the applicable resolution mechanisms in VAT shows the need
for a comprehensive tool that provides legal certainty for the taxpayer. The
author establishes, that in theory, the framework of administrative
cooperation provides for the right prerequisites to serve as a resolution
mechanism for double taxation.
On the basis of these findings, the paper presents several proposals to improve
the scope of administrative cooperation. This includes the introduction of a
broader scope of automatic exchange as well as the dialogue between tax
administrations. Those measures could strengthen cooperation and trust
between Member States, establishing a unified resolution mechanism for
double taxation. The proposals are supported by the introduction of a
consolidated European VAT administration which uses the analysis of big
data and centralized resources to advance the efficiency of administrative
cooperation in the European Union. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/9047510
- author
- Stetter, Emelie Madita LU
- supervisor
- organization
- course
- HARN60 20211
- year
- 2021
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- Administrative Cooperation, VAT, Double Taxation, Resolution Mechanism, European Union, Internal Market, European VAT Administration, Tax Administration Dialogue
- language
- English
- id
- 9047510
- date added to LUP
- 2021-06-08 11:22:31
- date last changed
- 2021-06-08 11:22:31
@misc{9047510,
abstract = {{This paper analyses the role of administrative cooperation in the European
VAT system. It examines, to what extent Regulation 904/2010 obliges
Member States to prevent double taxation issues in VAT and how the system
of administrative cooperation could be amended to ensure a correct
assessment of VAT taking into account other resolution mechanisms.
The supporting role administrative cooperation has to the VAT Directive
necessarily implies its duty to prevent double taxation issues, especially
having regard to the aim of establishing an internal market and ensuring
coherence with the principle of neutrality.
The current system generally allows for an exchange of information between
Member States but does not impose an obligation for the tax administrations
to come to an agreement concerning the place of supply of a transaction. This
is confirmed in the judgements WebMindLicenses and KrakVet of the
European Court of Justice.
An analysis of the applicable resolution mechanisms in VAT shows the need
for a comprehensive tool that provides legal certainty for the taxpayer. The
author establishes, that in theory, the framework of administrative
cooperation provides for the right prerequisites to serve as a resolution
mechanism for double taxation.
On the basis of these findings, the paper presents several proposals to improve
the scope of administrative cooperation. This includes the introduction of a
broader scope of automatic exchange as well as the dialogue between tax
administrations. Those measures could strengthen cooperation and trust
between Member States, establishing a unified resolution mechanism for
double taxation. The proposals are supported by the introduction of a
consolidated European VAT administration which uses the analysis of big
data and centralized resources to advance the efficiency of administrative
cooperation in the European Union.}},
author = {{Stetter, Emelie Madita}},
language = {{eng}},
note = {{Student Paper}},
title = {{Preventing Double Taxation Through Administrative Cooperation in VAT}},
year = {{2021}},
}