KEY POINTS
- Too many different IT suppliers.
- Each EU member state has different procedures.
- No common statutory language.
- Return to the paper system?
Tax policies intended to make life easier often have the opposite effect. This appears to be the case with the new electronic claims procedure introduced throughout the European Union on 1 January 2010 enabling a business to recover VAT paid in other EU countries.
In fact just one month after its inception the new system has suffered major problems and produced more rather than less inefficiency.
I will not analyse the technical process of the new system as this was explained by Neil Warren in his article French Polish...
Rather I will consider some of the current problems with the new system.
Background
In 1979 the...
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