The European Commission launched, on Monday 25 May, a public consultation on the operation of the special VAT scheme for travel agents and tour operators to help it evaluate the scheme (see EUROPE B12419A6).
In 1977, when the sixth VAT Directive was adopted, a special scheme was introduced for travel agents and tour operators because of the specific nature of the profession.
These businesses thus benefit from simplified origin-based taxation, by paying the VAT on their profit margin in the...