31987X0708(01)

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Application of Article 27 of the sixth Council Directive of 17 May 1977 on value added tax (1)

(Authorization for a derogation requested by the Government of the United Kingdom)

By Letter dated 18 February 1987, the United Kingdom Government submitted to the Commission, pursuant to the above provisions a request for a two-year extension of the derogation from the provisions of the sixth Directive which had been authorized for an initial period of two years by Council Decision 85/369/EEC of 13 June 1985 (2).

The measure is intended to prevent tax avoidance by applying a system for collecting value added tax in cases where the marketing structure of certain firms is based on the sale of their products to unregistered resellers.

The Commission informed the other Member States, by letter dated 24 March 1987, of the request for an extension.

In accordance with Article 27 (4) of the sixth Directive, the Council's decision will be deemed to have been adopted if, within two months of the other Membe States being informed, as described in the previous paragraph, neither the Commission nor any Member State has requested that the matter be raised by the Council.

Since neither the Commission nor any Member State so requested within that period, the Council's decision is deemed to have been adopted on 25 May 1987.

(1) OJ No L 145, 13. 6. 1977, p. 1.

(2) OJ No L 199, 31. 7. 1985, p. 60.