{
  "url": "https://openlegislation.uk/eu-decision-2015-2349/introduction",
  "json_url": "https://openlegislation.uk/eu-decision-2015-2349/introduction.json",
  "legislation": "eudn/2015/2349",
  "legislation_title": "Council Implementing Decision (EU) 2015/2349 of 10 December 2015 authorising Hungary to apply a measure derogating from Article 193 of Directive 2006/112/EC on the common system of value added tax",
  "legislation_url": "https://openlegislation.uk/eu-decision-2015-2349",
  "path": "introduction",
  "kind": "introduction",
  "number": null,
  "heading": "Introductory text",
  "text": "Council Implementing Decision (EU) 2015/2349\nof 10 December 2015\nauthorising Hungary to apply a measure derogating from Article 193 of Directive 2006/112/EC on the common system of value added tax\nTHE COUNCIL OF THE EUROPEAN UNION,\nHaving regard to the Treaty on the Functioning of the European Union, and in particular Article 291(2) thereof,\nHaving 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,\nHaving regard to the proposal from the European Commission,\nWhereas:\n(1)\nBy letters registered with the Commission on 23 December 2014 and 8 May 2015, Hungary requested authorisation to introduce a special measure derogating from Article 193 of Directive 2006/112/EC as regards the person liable for payment of value added tax (VAT).\n(2)\nIn accordance with Article 395(2) of Directive 2006/112/EC, the Commission informed the other Member States, by letter dated 2 July 2015, of the request made by Hungary. By letter dated 7 July 2015, the Commission notified Hungary that it had all the information it considered necessary to consider the request.\n(3)\nArticle 193 of Directive 2006/112/EC provides that the taxable person supplying goods or services is, as a general rule, liable for the payment of the VAT to the tax authorities. The purpose of the derogation requested by Hungary is to make the recipient liable for the payment of VAT in relation to supply of staff.\n(4)\nAccording to information provided by Hungary, a number of traders in the sector of temporary employment agencies engage in fraudulent activities by supplying services without paying the VAT over to the tax authorities. Since this type of activity does not necessarily require important input or investment, the VAT these agencies receive often greatly exceeds the deductible VAT they have paid to their suppliers. A number of these agencies, often with little or no assets, disappear after a short period of even only a few months, making the recovery of unpaid VAT difficult or impossible.\n(5)\nBy designating the person to whom these services are supplied as the person liable for the payment of VAT in such cases, the derogation would eliminate the opportunity to engage in that form of tax evasion. For a number of situations of supply of staff, listed in point (a) of Article 199(1) of Directive 2006/112/EC, it is already possible to indicate the recipient as the person liable for the payment of VAT. The derogating measure is therefore applicable to situations of supply of staff not already covered by Directive 2006/112/EC.\n(6)\nThe derogating measure will not have an adverse effect on the Union's own resources accruing from VAT,\nHAS ADOPTED THIS DECISION:",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "footnote",
      "label": "f1",
      "text": "OJ L 347, 11.12.2006, p. 1."
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/eudn/2015/2349/introduction",
    "retrieved_at": "2026-11-01T15:14:08.015637+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}