WRITTEN QUESTION E-0528/00 by Michl Ebner (PPE-DE) to the Commission. Reduced VAT rate for electronic news media products.
28. 12. 2000 EN Official Journal of the European Communities C 374 E/97 (2000/C 374 E/112) WRITTEN QUESTION E-0528/00 by Michl Ebner (PPE-DE) to the Commission (28 February 2000) Subject: Reduced VAT rate for electronic news media products Under the sixth VAT directive, Member States are permitted to apply a reduced VAT rate to the supply of certain goods and services. Some Member States include newspapers and periodicals under Annex H to the directive in question, levying a reduced VAT rate on such products. The fact is, however, that news media services are increasingly being provided electronically, and this is resulting in distortion of competition between paper and non-paper publications. Will the Member States have the possibility in future of extending the reduced VAT rate to electronic news media products, and in particular CD-ROMs and on-line publications? Reply given by Mr Bolkestein on behalf of the Commission (10 April 2000) In principle, under current Community VAT legislation, particularly Article 12 of the sixth Directive (77/388/EEC) (1), the standard rate of VAT applies to newpapers and other news media. However, Member States wishing to do so may allow a reduced rate for books, newspapers and periodicals. Where intagibles are concerned, in June 1998 the Ecofin Council approved the principle by which an operation that makes a product available in digital form via an electronic network should be regarded for VAT purposes as a service provided. The question whether some services of this kind may be added to the list of goods and services eligible for a reduced rate will be examined more widely in the course of a forthcoming revision of the scope of reduced rates of VAT. However, at this stage, it would be premature to anticipate the Commissionís work by commenting on the future VAT treatment of electonic news media products. (1) OJ L 145, 13. 6. 1977, as last amended by Directive 1999/85/EC (OJ L 277, 28. 10. 1999). (2000/C 374 E/113) WRITTEN QUESTION E-0532/00 by Raffaele Costa (PPE-DE) to the Commission (28 February 2000) Subject: Conditions imposed by certain Italian credit institutions on its own current account-holders What consumer protection rules exist in relation to bank deposits? Can banks always do as they wish, within the bounds of the laws to prevent usury, or does the European Union consider that they are obliged to comply with specific rules? Is the Commission aware that, in Italy, certain credit institutions have set borrowing rates of 13 % for their customers while paying only 0,1 % (or even less) on accounts that are in credit?