06/11/2019 (Agence Europe) – Member States' ambassadors to the EU (Coreper) on Wednesday 6 November endorsed the EU Council decision authorising the Czech Republic to apply the generalized reverse charge mechanism for VAT between 1 January 2020 and 30 June 2022. This mechanism, which the country strongly supported, was introduced in 2018 (see EUROPE 12108/5). It consists of transferring the payment of VAT from the supplier to the final recipient of the goods concerned, thus eliminating the typical split payment of the tax. It is only applicable to the supply of services and goods for transactions above 17,500 euros and in a Member State where missing trader fraud accounts for at least 25% of the VAT gap. Prague, which fulfils all the conditions, estimates the additional collection expected from this mechanism at 10 billion Czech koruna. (MF)