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Agenda of the EU Economic and Financial Affairs Council, 16 June 2023

16 June 2023

EU VAT in the digital age package
Ministers will be invited to hold a policy debate on this legislative package and to give political guidance on a number of key issues which are currently the subject of discussions at the level of experts of the member states.On 8 December 2022, the Commission had presented the ‘VAT in the digital age’ package which consists of three proposals:a proposal for a Council directive amending directive 2006/112/EC as regards VAT rules for the digital age

a proposal for a Council regulation amending regulation (EU) No 904/2010 as regards the VAT administrative cooperation arrangements needed for the digital age

a proposal for a Council implementing regulation amending implementing regulation (EU) No 282/2011 as regards information requirements for certain VAT schemes

The three proposals have the following objectives:

– they set out to modernise the reporting obligations for VAT purposes by standardising the information that needs to be submitted by taxable persons on each transaction and by imposing the use of e-invoicing for cross-border transactions, which would contribute to the fight against VAT fraud (digital reporting requirements)

– they seek to address the challenges of the platform economy by enhancing the role of platforms in the collection of VAT when they facilitate the supply of short-term accommodation rental or passenger transport services (platform economy)

– they support the aim of reducing the need to register for VAT purposes in multiple EU member states, by improving the functioning of and expanding the existing one-stop shop systems and reverse charge mechanisms (single VAT registration)

Digital taxation (background information)

Retail investment package

The Commission will present its proposal. Ministers will have the opportunity to have a first exchange of views, providing their initial reactions to the proposal.

On 24 May the Commission presented two legislative proposals seeking to ensure that the legal framework for retail investments sufficiently empowers consumers, adequately protects them, ensures fair market outcomes and ultimately creates the necessary conditions to grow retail investor participation in the capital markets:

– a proposal for an omnibus directive amending the markets in financial instruments directive (MIFID), the insurance distribution directive (IDD), Solvency II, the undertakings for collective investment in transferable securities (UCITS) directive and alternative investment fund managers directive (AIFMD)

– a proposal for a regulation amending the PRIIPs (packaged retail and insurance-based investment products) regulation

Commission proposal

Capital markets union (background information)

 

Financial services

The presidency will present the state of play of current legislative proposals in the field of financial services.

Digital finance (background information)

Capital markets union (background information)

 

Economic governance review

The Council may have the opportunity to exchange views on the proposed reform of the economic governance framework. On 14 March, the Council had agreed its orientations for this reform.

The EU’s economic governance framework is a set of common rules for national fiscal and economic policies which apply to all member states. It has been instrumental in safeguarding macroeconomic stability and growth in the Union and has helped member states achieve their economic and fiscal policy goals. These common rules serve to ensure the sustainability of public finances and promote convergence while addressing macroeconomic imbalances.

Economic governance framework: Council agrees its orientations for a reform (press release, 14 March 2023)

Economic governance framework (background information)

 

Recovery and Resilience Facility

The Council will aim to adopt an implementing decision approving an amended recovery and resilience plan of Estonia.

A recovery plan for Europe (background information)

 

European Semester

The Council will aim to approve its recommendations on the 2023 national reform programmes and it will aim to deliver its opinions on the updated stability or convergence programmes. Ministers will approve the Council recommendations with a view to forwarding them for endorsement to the European Council.

Introduced in 2010, the European Semester enables the EU member states to coordinate their economic, fiscal and employment policies throughout the year and address the economic challenges facing the EU.

European Semester (background information)

 

Economic and financial impact of Russia’s aggression against Ukraine

Ministers will discuss the economic and financial impact of Russia’s aggression against Ukraine.

EU response to Russia’s invasion of Ukraine (background information)

 

International meetings

Ministers will give guidance for further work as regards the preparation of the G20 meeting of finance ministers and central bank governors meeting of 14-18 July 2023.

G20 website

 

Business taxation: Code of Conduct Group

The Council is expected to approve conclusions on the progress achieved by the Code of Conduct Group during the Swedish presidency (January to June 2023).

Code of conduct group on business taxation (background information)

 

Report to the European Council on tax issues

The Council is expected to approve the biannual Ecofin report to the European Council on tax issues. This report provides an overview of the progress achieved in the Council during the term of the Swedish Presidency, as well as an overview of the state of play of the most important dossiers under negotiation in the area of taxation.

 

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Details

Date:
16 June 2023
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Venue

European Convention Center Luxembourg
4 Pl. de l'Europe
Neudorf-Weimershof Luxembourg, 1499 Luxembourg
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Organizer

EU Council