10/07/2020 (Agence Europe) – This week, the European Parliament adopted its opinion on the postponement of the entry into force of the legislative package on the modernisation of VAT for cross-border e-commerce due to the Covid-19 pandemic (see EUROPE 11919/3). In adopting the 'Niedermayer' report on Wednesday 8 July (494 votes in favour, 165 against and 35 abstentions) and the 'Kovařík' report on Thursday 9 July (485 votes in favour, 162 against and 43 abstentions), MEPs voted in favour of a postponement of only three months. “An even longer postponement would extend the risk of VAT fraud at a time when public finances should be replenished in order to fight the pandemic and its economic and social consequences”, they say. For its part, the Council of the EU has already decided in favour of the Commission's proposal for a six-month postponement (see EUROPE 12505/6). The new rules will therefore apply from 1 July 2021 instead of 1 January 2021. (MF)