Commission Implementing Regulation (EU) 2021/2007 laying down rules for the implementation of Council Regulation (EU) No 904/2010 in relation to the special scheme for small businesses (franchise scheme)
On November 17, 2021, the Implementing Regulation ( EU 2021/2007 of the Commission of November 16, 2021 was published in 1## OJEU ##1## 2021 laying down rules for the implementation of Council Regulation (EU) No 904/2010 as regards the special scheme for small businesses established by Title XII, Chapter 1, of Council Directive 2006/112/EC.
The new measures will allow small businesses established in Member States other than the one in which VAT is due to also benefit from the exemption, the design of which , currently only allows companies established in the Member State in which VAT is due to be granted an exemption under the scheme.
Implementing Regulation (EU) 2021/2007 aims to establish a common electronic message in order to facilitate:
access to information from another Member State, such as, for example, information relating to identification data and the value of supplies of goods or services carried out by the taxable person who takes advantage of the special regime applied by the Member State in which the delivery or provision takes place;
effective transmission and processing of information relating to the registration of small businesses, necessary for them to benefit from the special scheme outside their Member State of establishment;
the exchange of information between Member States to control the correct application of the special regime or exclusion from the regime, in their territory and to combat fraud.
Likewise, certain minimum requirements for the electronic interface are established in the event of notifications being submitted by taxable persons. Member States should not, however, be prevented from establishing additional functionalities that further reduce this burden.
This Regulation will be applicable as of January 1, 2025 .