Brussels, 19/10/2004 (Agence Europe) - The European Commission has formally asked Italy to amend the VAT chapter of the "Condono" tax amnesty scheme it has adopted. In its 2003 Finance Act, the Italian Government approved tax measures, which allow taxpayers to regularise various unpaid taxes. The Commission considers that the scheme is in breach of the 6th VAT Directive which requires all supplies of goods and services within the country to be taxed and obliges Member States to take the necessary steps to ensure that taxable persons fulfil their obligation to declare and pay VAT. The Commission explains that the Italian measures jeopardise the proper collection of Community own resources, part of which consists of a percentage of each Member State's VAT base. A Commission press release explained that "the Italian measures go beyond the margin of discretion that Member States enjoy for adjusting their controls on the basis of the human and technical resources available to them". Rome has two months to respond before the Commission takes the matter to the Court of Justice.