3 Amendments of Olle SCHMIDT related to 2007/0238(CNS)
Amendment 8 #
Draft Directive – amending act
Recital 9
Recital 9
(9) Regarding the right of deduction, the basic rule is that this right arises only in so far as the goods and services are used by a taxable person for the purposes of his business activitythat person’s transactions that give rise to a right of deduction. This rule should be clarified and strengthened with respect to the supply of immovable property and expenditure relating thereto in order to ensure that taxable persons are dealt with in an identical manner whenever immovable goods that they use for their business activity are not used exclusively for purposes related to that activity. Consequently, the initial exercise of the right of deduction should be limited to that use which results in transactions giving rise to a right of deduction when the tax becomes chargeable.
Amendment 9 #
Draft Directive – amending act
Recital 10
Recital 10
(10) WhilstSince immovable property and related expenditure account for the most significant cases where clarification and strengthening of the rule is appropriate, given the value and economic lifetime of such property and the fact that mixed use of this type of property is a common practice, it is nevertheless appropriate, ithe initial right of deduction should be applied to immovable property that is supplied to the taxable person and important services relating to the property supplied, which, by virtue of their economic value, can be assimilated to the acquisition of immovable property. Conversely, minor repairs or improvements that are of limited economic significance should be excluded from the scope of this rule. In accordance with the principle of subsidiarity, to authorise Member States should be authorised to apply the same rule to movable goods with a durable nature and forming part of the business assets.
Amendment 12 #
Draft Directive – amending act
Article 1 – point 12
Article 1 – point 12
Directive 2006/112/EC
Article 168 a – paragraph 1
Article 168 a – paragraph 1
1. In the case of immovable property forming part of the business assets of a taxable person and used both for purposes of the taxable person’s business and for his private use or that of his staff, or, more generally, for purposes other than those of his business, VAT on expenditure related to this property shall be deductible in accordance with the principles set out in Articles 167, 168, 169 and 173 only up to the proportion of the property’s use for purposes of the taxable person’s businessthe initial exercise of the right of deduction arising when the tax becomes chargeable shall be limited to the proportion of the property’s effective business use for transactions giving rise to a right of deduction. By way of derogation from Article 26, the changes in the proportion of use of immovable property referred to in the first subparagraph shall be taken into account in accordance with the principleunder the conditions provided for in Articles 184 to 192 as applied in the respective Member State. for adjusting the initial exercise of the right of deduction. The changes referred to in the second subparagraph shall be taken into account during the period defined by the Member States under Article 187(1) for immovable property acquired as capital goods.