Brussels, 09/11/2007 (Agence Europe) - On Wednesday 7 November, the European Commission adopted a draft directive amending Directive 2006/112/EC on the EU's value added tax (VAT) system. The planned changes are essentially technical and aim to 1) extend the tax system foreseen in Directive 2003/92/EC on the place of taxation for deliveries of natural gas and VAT exemptions for imports of natural gas; 2) apply the same tax rules to the supply of heating or cooling by heat or cooling networks as apply to the natural gas and electricity industries; 3) apply the tax exemptions foreseen for international organisations to the common enterprises set up by the EU under EU R&D programmes which do not have an economic activity; 4) include the derogations negotiated by Bulgaria and Romania in the VAT directive when they joined the EU. The measures cover tax exemptions for small and medium-sized enterprises and the VAT system for the international transport of persons; and 5) adapt application of the right to reduced-rate VAT for private and professional mixed-use real estate. (M.B.)