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EEC theft victims' vat evasion worry

4th May 1985, Page 17
4th May 1985
Page 17
Page 17, 4th May 1985 — EEC theft victims' vat evasion worry
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Which of the following most accurately describes the problem?

LENIENCY towards companies whose goods are stolen during transit through member states of the EEC could lead to the growth of a new form of tax evasion.

This is the excuse given to EEC Commission investigators by national Customs authorities faced with criticism that current practices unfairly penalise apparently innocent victims of theft.

As Commissioner Peter Sutherland explained to British MEP Christopher Jackson in answer to a written question, member states are allowed under EEC law to require "adjustments" in vat payments where goods have been stolen during transit.

But, he added, the commis sion is aware of the "severity" of this provison and has often tried to persuade member states to waive the requirements when the theft can be proved. Mr Jackson referred in his question to a British lorry in transit across Italy which was hijacked by armed robbers and stolen, together with the documents.

"In a case of force majeure such as this, it seems entirely inappropriate that the regulations should permit the Italian authorities not only to claim vat but also to impose a fine on the exporter, which they have done. The exporter is an injured party not a culprit," said Mr Jackson.

Mr Sutherland agreed that the fine appeared unjust and promised to "convey its point of view" to the Italian authorities.

Efforts to persuade member states to treat such cases with leniency met with opposition, said Mr Sutherland.


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