Brussels 21/03/2002 (Agence Europe) - The European Commission decided on Thursday to formally request (in the form of a Letter of Formal Notice) the United Kingdom to notify what measures it has taken to comply with a judgement delivered by the European Court of Justice on 12 September 2000concerning VAT on toll charges for road infrastructure. The Court declared that by failing to level VAT on tolls collected for the use of toll roads and bridges as consideration for the service supplied to users, the UK was in breach of Article 2 of the Sixth VAT Directive (of 17 May 1977), which governs the scope of VAT and sets out that such services are only exempt from VAT if provided by a body governed by public law. The Commission has also decided to take the UK to Court over a VAT exemption granted to taxable employers on some of their employees' professional expenses. UK law allows an employee to deduct either part of an allowance paid to an employee for business use of a private car or VAT on the fuel costs incurred. However, under EU law VAT cannot be deducted here since the transactions are supplies to the employee rather than the taxable employer. This interpretation was confirmed in a Court of Justice ruling of 8 November 2001 in Case C-338/98, Commission v. Netherlands.