As reported by the News Media Association: This follows the Friday (6 March) ruling by the Court of Justice of the European Union regarding VAT on e-books.
ENPA and the European Magazine Media Association underlined that the negative CJEU ruling against France and Luxembourg, following their consistent application of a lower VAT rate to print and e-books, demonstrated the need for the EU to update urgently its VAT system to the reality of today’s digital market.
On Monday, ENPA met with the cabinet of EU Taxation Commissioner Pierre Moscovici to discuss the need for a proposal regarding reduced VAT rates on digital press. The Commission is due in the next weeks to adopt a reasoned opinion on the decision by France to apply unilaterally a reduced VAT rate to digital press, ENPA said.
Maria Elena Scoppio from the cabinet said that no initiative regarding reduced rates is expected this year and it will not be included in the forthcoming EC Digital Single Market strategy. The first occasion to address this subject may come at the end of 2016, in the context of the discussion on inter-community supplies (country of origin/destination rules). The Commission would then take a global approach, not focusing particularly on e-publications.
ENPA is also due to meet with the cabinet of Commission President Jean-Claude Juncker on 12 March to underline the importance to press publishers of a rapid proposal regarding reduced VAT rates on digital publications.
