Local view for "http://purl.org/linkedpolitics/eu/plenary/2006-05-16-Speech-2-115"
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"en.20060516.32.2-115"2
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".
Following the rather inglorious episode involving the Services Directive, another attack on the country of origin principle, this time with regard to the VAT payable on services, would be one more step in the wrong direction. If the ideas set out in Mr Karas's report are put into practice, this will have negative and dangerous repercussions, because the Commission and many of the countries in the Council want the place of consumption to be the determining factor for the provision of services, rather than, as now, the place from where the service is provided. However, abandoning the country of origin principle would create a complex, bureaucratic, uncontrollable and therefore impracticable system.
Taking account of the place of consumption goes against the principles that, until recently, governed the VAT system applicable at Community level. The Member States need stability and predictability so that they can manage their public finances. Given that Community legislation was put in place very recently regarding, for example, e-commerce, it is quite unreasonable to suggest turning it all upside down.
I therefore voted against the Karas report."@en1
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