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Commission proposes VAT and excise duty exemption for EU forces

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The European Commission has proposed a VAT directive amendment providing exemption from VAT and excise duty for supplies to armed forces deployed under the EU common security and defence policy, similar to the exemption available to armed forces when participating in NATO activities.

The exemption would apply when these forces are deployed outside their own member state and take part in a European defence effort.

The proposed amending directive (bit.ly/2vxpLhf) is intended to apply from 1 July 2022.

Issue: 1441
Categories: News
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