Address https://gelex.eu/eli/EU/decision/2012/181@2012-03-26/en

Contents

1. Preamble
2. 1. Article 1
   2. Article 2
   3. Article 3

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union,

Having regard to Council Directive 2006/112/EC of 28 November 2006 on the common system of value added tax, and in particular Article 395(1) thereof,

Having regard to the proposal from the European Commission,

Whereas:

(1) By letter registered with the Commission on 30 August 2011, Romania requested authorisation to introduce a special measure derogating from point 18 of Article 287 of Directive 2006/112/EC in order to exempt taxable persons whose annual turnover is no higher than the equivalent in national currency of EUR 65000 at the conversion rate on the day of Romania’s accession to the European Union. The measure would release those taxable persons from certain or all of the value added tax (VAT) obligations referred to in Chapters 2 to 6 of Title XI of Directive 2006/112/EC.

(2) In accordance with the second subparagraph of Article 395(2) of Directive 2006/112/EC, the Commission informed the other Member States by letter dated 8 November 2011 of the request made by Romania. By letter dated 9 November 2011, the Commission notified Romania that it had all the information necessary to consider the request.

(3) A special scheme for small enterprises is an option which is already available to Member States under Title XII of Directive 2006/112/EC. The measure derogates from Title XII of Directive 2006/112/EC only in so far as the taxable person’s annual turnover threshold for the scheme is higher than that allowed for Romania under point 18 of Article 287 of Directive 2006/112/EC, which is EUR 35000.

(4) A higher threshold for the special scheme for small enterprises is a simplification measure as it may significantly reduce the VAT obligations of the smallest businesses, whilst that special scheme is optional for taxable persons. Overall, it is expected that the measure will improve the general level of VAT compliance.

(5) In its proposal of 29 October 2004 for a Directive amending Council Directive 77/388/EEC with a view to simplifying value added tax obligations, the Commission included provisions aimed at allowing Member States to set the annual turnover ceiling for the VAT exemption scheme at up to EUR 100000 or the equivalent in national currency, with the possibility of updating this amount each year. The request made by Romania is in line with that proposal.

(6) The measure has no impact on the Union’s own resources accruing from VAT and only a negligible effect on the overall amount of the tax revenue of Romania collected at the stage of final consumption,

HAS ADOPTED THIS DECISION:

Article 1

By way of derogation from point 18 of Article 287 of Directive 2006/112/EC, Romania is authorised to exempt from VAT taxable persons whose annual turnover is no higher than the equivalent in national currency of EUR 65000 at the conversion rate on the day of its accession to the European Union.

Article 2

This Decision shall take effect on the day of its notification. It shall apply until the date of entry into force of a Directive amending the amounts of the annual turnover ceilings below which taxable persons may qualify for VAT exemption or until 31 December 2014, whichever date is earlier.

Article 3

This Decision is addressed to Romania.

Done at Brussels, 26 March 2012. For the Council The President N. Wammen

Versions

1. 2012-03-26

Cited by

• Council Implementing Decision of 16 December 2014 extending the application of Implementing Decision 2012/181/EU authorising Romania to introduce a special measure derogating from Article 287 of Directive 2006/112/EC on the common system of value added tax (2014/931/EU) Decision · Grade B

  By Council Implementing Decision 2012/181/EU, Romania was authorised, until 31 December 2014 and as a derogating measure, to exempt from VAT taxable persons whose annual turnover is no higher than the equivalent in national currency of EUR 65000 at the conversion rate on the day of its accession. Given that this higher threshold has resulted in reduced VAT obligations for the smaller businesses, whilst such businesses may still opt for the regular VAT arrangements in accordance with Article 290 of Directive 2006/112/EC, Romania should be authorised to extend the measure for a further limited p

• Council Implementing Decision of 16 December 2014 extending the application of Implementing Decision 2012/181/EU authorising Romania to introduce a special measure derogating from Article 287 of Directive 2006/112/EC on the common system of value added tax (2014/931/EU) Decision · Grade B

  In the second paragraph of Article 2 of Implementing Decision 2012/181/EU, the date 31 December 2014 is replaced by 31 December 2017.

• Council Implementing Decision (EU) 2017/1855 of 10 October 2017 authorising Romania to apply a special measure derogating from Article 287 of Directive 2006/112/EC on the common system of value added tax Decision · Grade B

  By virtue of Council Implementing Decision 2012/181/EU Romania is authorised to apply a higher threshold and to exempt from VAT taxable persons with annual turnover not exceeding EUR 65000. This measure was extended by Council Implementing Decision 2014/931/EU which expires on 31 December 2017.

• Council Implementing Decision (EU) 2020/1260 of 4 September 2020 amending Implementing Decision (EU) 2017/1855 authorising Romania to apply a special measure derogating from Article 287 of Directive 2006/112/EC on the common system of value added tax Decision · Grade B

  By means of Council Implementing Decision 2012/181/EU, Romania was authorised to introduce a special measure derogating from Article 287 of Directive 2006/112/EC (the derogating measure) to exempt from VAT taxable persons whose annual turnover was no higher than the equivalent in national currency of EUR 65000 at the conversion rate on the day of its accession to the Union. The derogating measure expired on 31 December 2014.

• Judgment of the Court (Fifth Chamber) 9 July 2020 Judgment · Grade B

  Under Article 1 of Council Implementing Decision 2012/181/EU of 26 March 2012 authorising Romania to introduce a special measure derogating from Article 287 of Directive 2006/112 (OJ 2012 L 92, p. 26), by way of derogation from point 18 of Article 287 of [the VAT] Directive …, Romania is authorised to exempt from VAT taxable persons whose annual turnover is no higher than the equivalent in national currency of EUR 65000 at the conversion rate on the day of its accession to the European Union.