1.8.2018 EN Official Journal of the European Union L 195/3 AGREEMENT between the European Union and the Kingdom of Norway on administrative cooperation, combating fraud and recovery of claims in the field of value added tax THE EUROPEAN UNION, hereinafter referred to as ‘the Union’, and THE KINGDOM OF NORWAY, hereinafter referred to as ‘Norway’, hereinafter referred to as ‘the Parties’, DESIRING to ensure the correct determination, assessment and collection of value added tax (VAT) and recovery of VAT claims, to avoid double or non-taxation and to combat VAT fraud, AWARE that combating cross-border VAT fraud and evasion calls for close cooperation between the competent authorities responsible for the application of the legislation in that field, RECOGNISING that cross-border VAT fraud and evasion have specific features and mechanisms that make them different from other kinds of tax fraud, therefore calling for specific legal tools for administrative cooperation, in particular for the mutual exchange of information, AIMING to contribute to the Eurofisc network for the exchange of targeted information for combating cross-border VAT fraud, subject to the restrictions pursuant to this Agreement, AWARE that all Contracting Parties should apply rules on confidentiality and the protection of personal data in accordance with Directive 95/46/EC of the European Parliament and of the Council (1) on the protection of individuals with regard to the processing of personal data and on the free movement of such data, including in the context of Eurofisc, WHEREAS the assessment of the correct application of VAT on telecommunication, broadcasting and electronically supplied services can only be effective through international cooperation, CONSIDERING that the Union and Norway are neighbours and dynamic trade partners, and are also Parties to the Agreement on the European Economic Area (‘EEA Agreement’), which aims to promote a continuous and balanced strengthening of trade and economic relations between the Contracting Parties with equal conditions of competition, and the respect of the same rules, with a view to creating a homogeneous European Economic Area, RECOGNISING that, while tax matters fall outside the scope of the EEA Agreement, cooperation aimed at more effective application and enforcement of VAT is in the interest of the Union and Norway, HAVE AGREED AS FOLLOWS: TITLE I GENERAL PROVISIONS Article 1 Objective The objective of this Agreement is to establish the framework for administrative cooperation between the Member States of the Union and Norway, in order to enable the authorities responsible for the application of VAT legislation to assist each other in ensuring compliance with that legislation and in protecting VAT revenue. Article 2 Scope 1. This Agreement lays down rules and procedures for cooperation: (a) to exchange any information that may help to effect a correct assessment of VAT, monitor the correct application of VAT, and combat VAT fraud; (b) for the recovery of: (i) claims relating to VAT; (ii) administrative penalties, fines, fees and surcharges relating to the claims referred to in point (i) imposed by the administrative authorities that are competent to levy the VAT or carry out administrative enquiries with regard to it, or confirmed by administrative or judicial bodies at the request of those administrative authorities; (iii) interest and costs relating to the claims referred to in points (i) and (ii). 2. This Agreement shall not affect the application of the rules on administrative cooperation and combating fraud and assistance for the recovery of claims in the field of VAT between Member States of the Union. 3. This Agreement shall not affect the application of the rules on mutual assistance in criminal matters. Article 3 Definitions For the purpose of this Agreement, the following definitions shall apply: (a) ‘VAT’ means value added tax pursuant to Council Directive 2006/112/EC of 28 November 2006 on the common system of value added tax (2) for the Union and value added tax pursuant to Norwegian Act of 19 June 2009 No 58 relating to value added tax for Norway; (b) ‘state’ means a Member State of the Union or Norway; (c) ‘states’ means Member States of the Union and Norway; (d) ‘third country’ means a country that is neither a Member State of the Union nor Norway; (e) ‘competent authority’ means the authority designated pursuant to Article 4(1); (f) ‘central liaison office’ means the office designated pursuant to Article 4(2) with the principal responsibility for contacts for the application of Title II or Title III; (g) ‘liaison department’ means any office other than the central liaison office designated as such pursuant to Article 4(3) to request or grant mutual assistance under Title II or Title III; (h) ‘competent official’ means any official designated pursuant to Article 4(4) who can directly exchange information under Title II; (i) ‘requesting authority’ means a central liaison office, a liaison department or a competent official who makes a request for assistance under Title II, on behalf of a competent authority; (j) ‘applicant authority’ means a central liaison office or a liaison department of a state which makes a request under Title III; (k) ‘requested authority’ means the central liaison office, the liaison department or – as far as cooperation under Title II is concerned – the competent official who receives a request from a requesting or an applicant authority; (l) ‘person’ means: (i) a natural person; (ii) a legal person; (iii) where the legislation in force so provides, an association of persons recognised as having the capacity to perform legal acts but lacking the legal status of a legal person; or (iv) any other legal arrangement of whatever nature and form, which has legal personality or not, subject to VAT or liable for the payment of the claims referred to in Article 2(1)(b); (m) ‘Joint Committee’ means the committee responsible for ensuring the proper functioning and implementation of this Agreement pursuant to Article 41; (n) ‘administrative enquiry’ means all the controls, checks and other action taken by the states in the performance of their duties with a view to ensuring the proper application of the VAT legislation; (o) ‘spontaneous exchange’ means the non-systematic communication, at any moment and without prior request, of information to another state; (p) ‘automatic exchange’ means the systematic communication of predefined information to another state, without prior request; (q) ‘simultaneous control’ means the coordinated checking of the tax liability of one or more related taxable persons organised by two or more states with common or complementary interests; (r) ‘by electronic means’ means using electronic equipment for the processing (including digital compression) and storage of data, and employing wires, radio transmission, optical technologies or other electromagnetic means; (s) ‘CCN/CSI network’ means the common platform based on the common communication network (‘CCN’) and common system interface (‘CSI’), developed by the Union to ensure all transmissions by electronic means between competent authorities in the area of taxation; (t) ‘telecommunication services, radio and television broadcasting services and electronically supplied services’ means the services as defined in Articles 6a, 6b and 7 of Council Implementing Regulation (EU) No 282/2011 (3) laying down implementing measures for Directive 2006/112/EC on the common system of value added tax. Article 4 Organisation 1. Each state shall designate a competent authority responsible for the application of this Agreement. 2. Each state shall designate: (a) one central liaison office with the principal responsibility for the application of Title II of this Agreement, and (b) one central liaison office with the principal responsibility for the application of Title III of this Agreement. 3. Each competent authority may designate, directly or by delegation: (a) liaison departments to exchange directly information under Title II of this Agreement; (b) liaison departments to request or grant mutual assistance under Title III of this Agreement, in relation to their specific territorial or operational competences. 4. Each competent authority may designate, directly or by delegation, competent officials who can directly exchange information on the basis of Title II of this Agreement. 5. The central liaison offices shall keep the list of liaison departments and competent officials up-to-date and make it available to the other central liaison offices. 6. Where a liaison department or a competent official sends or receives a request for assistance under this Agreement, it shall inform its central liaison office thereof. 7. Where a central liaison office, a liaison department or a competent official receives a request for mutual assistance requiring action outside its competence, it shall forward the request without delay to the competent central liaison office or liaison department, and shall inform the requesting or applicant authority thereof. In such a case, the period laid down in Article 8 shall start the day after the request for assistance has been forwarded to the competent central liaison office or the competent liaison department. 8. Each state shall inform the European Commission of its competent authority for the purposes of this Agreement within one month of the signature of this Agreement and of any change thereof without delay. The European Commission keeps the list of competent authorities updated and makes it available to the Joint Committee. Article 5 Service level agreement A service level agreement ensuring the technical quality and quantity of the services for the functioning of the communication and information exchange systems shall be concluded according to the procedure established by the Joint Committee. Article 6 Confidentiality and protection of personal data 1. Any information obtained by a state under this Agreement shall be treated as confidential and protected in the same manner as information obtained under its domestic law and, to the extent necessary for the protection of personal data, in accordance with Directive 95/46/EC of the European Parliament and of the Council and safeguards which may be specified by the state supplying the information as required under its law. 2. Such information may be disclosed to persons or authorities (including courts and administrative or supervisory bodies) concerned with the application of VAT laws and for the purpose of a correct assessment of VAT as well as for the purpose of applying enforcement including recovery or precautionary measures with regard to VAT claims. 3. The information referred to in paragraph 1 may also be used for assessment and enforcement, including recovery of other taxes and compulsory social security contributions. If the information exchanged reveals or helps to prove the existence of breaches of the tax law, it may also be used for imposing administrative or criminal sanctions. Only the persons or authorities mentioned in paragraph 2 may use the information and then only for purposes set out in the preceding sentences of this paragraph. They may disclose it in public court proceedings or in judicial decisions. 4. Notwithstanding paragraphs 1 and 2, the state providing the information shall, on the basis of a reasoned request, permit its use for purposes other than those referred to in Article 2(1) by the state which receives the information if, under the legislation of the state providing the information, the information may be used for similar purposes. The requested authority shall accept or refuse any such request within one month. 5. Reports, statements and any other documents, or certified true copies or extracts thereof, obtained by a state under the assistance provided by this Agreement may be invoked as evidence in that state on the same basis as similar documents provided by another authority of that state. 6. Information provided by a state to another state may be transmitted by the latter to another state, subject to prior authorisation by the competent authority from which the information originated. The state of origin of the information may oppose such a sharing of information within ten working days of the date on which it received the communication from the state wishing to share the information. 7. The states may transmit information obtained in accordance with this Agreement to third countries subject to the following conditions: (a) the transmission of information is subject to the national legislation of the transmitting state implementing Article 25 of Directive 95/46/EC on the protection of individuals with regard to the processing of personal data and on the free movement of such data, especially as regards the adequate level of protection provided in the third country concerned; (b) the competent authority from which the information originates has consented to that communication; (c) the transmission is permitted by assistance arrangements between the state transmitting the information and that particular third country. 8. When a state receives information from a third country, the states may exchange that information, in so far as permitted by the assistance arrangements with that particular third country. 9. Each state shall immediately notify the other states concerned regarding any breach of confidentiality, failure of safeguards of personal data and any sanctions and remedial actions consequently imposed. 10. Persons duly accredited by the Security Accreditation Authority of the European Commission may have access to this information only in so far as it is necessary for care, maintenance and development of the CCN/CSI network. TITLE II ADMINISTRATIVE COOPERATION AND COMBATING FRAUD CHAPTER 1 Exchange of information on request Article 7 Exchange of information and administrative enquiries 1. At the request of the requesting authority, the requested authority shall communicate the information referred to in Article 2(1)(a) relating to a specific case or cases. 2. For the purpose of forwarding the information referred to in paragraph 1, the requested authority shall arrange for the conduct of any administrative enquiries necessary to obtain such information. 3. The request referred to in paragraph 1 may contain a reasoned request for an administrative enquiry. If the requested authority takes the view that the administrative enquiry is not necessary, it shall immediately inform the requesting authority of the reasons thereof. 4. Where the requested authority refuses an administrative enquiry into the amounts declared by a taxable person in connection with the supplies of goods and services indicated in Annex which are made by a taxable person established in the state of the requested authority and are taxable in the state of the requesting authority, the requested authority shall at least provide to the requesting authority the dates and values of any relevant supplies made by the taxable person in the state of the requesting authority over the previous two years. 5. In order to obtain the information sought or to conduct the administrative enquiry requested, the requested authority or the administrative authority to which it has recourse shall proceed as though acting on its own account or at the request of another authority in its own state. 6. At the request of the requesting authority, the requested authority shall communicate to it any pertinent information it obtains or has in its possession as well as the results of administrative enquiries, in the form of reports, statements and any other documents, or certified true copies or extracts thereof. 7. Original documents shall be provided only where this is not contrary to the provisions in force in the state of the requested authority. Article 8 Time limit for providing information 1. The requested authority shall provide the information referred to in Article 7 as quickly as possible and no later than three months following the date of receipt of the request. However, where the requested authority is already in possession of that information, the time limit shall be reduced to a maximum period of one month. 2. In certain special categories of cases, time limits which are different from those provided for in paragraph 1 may be agreed between the requested and the requesting authorities. 3. Where the requested authority is unable to respond to the request within the time limits referred to in paragraphs 1 and 2, it shall forthwith inform the requesting authority in writing of the reasons for its failure to do so, and when it considers it would be likely to be able to respond. CHAPTER 2 Exchange of information without prior request Article 9 Types of exchange of information Exchange of information without prior request shall either be spontaneous, as provided for in Article 10, or automatic, as provided for in Article 11. Article 10 Spontaneous exchange of information A competent authority of a state shall, without prior request, forward to the competent authority of another state the information referred to in Article 2(1)(a) which has not been forwarded under the automatic exchange referred to in Article 11 and of which it is aware of in the following cases: (a) where taxation is deemed to take place in the state of destination and information from the state of origin is necessary for the effectiveness of the control system of the state of destination; (b) where a state has grounds to believe that a breach of VAT legislation has been committed or is likely to have been committed in the other state; (c) where there is a risk of tax loss in the other state. Article 11 Automatic exchange of information 1. The categories of information subject to automatic exchange shall be determined by the Joint Committee in accordance with Article 41. 2. A state may abstain from taking part in the automatic exchange of one or more categories of information referred to in paragraph 1 where the collection of information for such exchange would require the imposition of new obligations on persons liable for VAT or would impose a disproportionate administrative burden on that state. 3. Each state shall notify the Joint Committee in writing of its decision, taken in accordance with the previous paragraph. CHAPTER 3 Other forms of cooperation Article 12 Administrative notification 1. The requested authority shall, at the request of the requesting authority and in accordance with the rules governing the notification of similar instruments in the state of the requested authority, notify the addressee of all instruments and decisions which emanate from the requesting authorities and concern the application of VAT legislation in the state of the requesting authority. 2. Requests for notification, mentioning the subject of the instrument or decision to be notified, shall indicate the name, address and any other relevant information for identifying the addressee. 3. The requested authority shall inform the requesting authority immediately of its response to the request for notification and notify it, in particular, of the date of notification of the decision or instrument to the addressee. Article 13 Presence in administrative offices and participation in administrative enquiries 1. By agreement between the requesting authority and the requested authority, and in accordance with the arrangements laid down by the latter, the requested authority may allow officials authorised by the requesting authority to be present in the offices of the requested authority, or any other place where those authorities carry out their duties, with a view to exchanging the information referred to in Article 2(1)(a). Where the requested information is contained in documentation to which the officials of the requested authority have access, the officials of the requesting authority shall be given copies thereof. 2. By agreement between the requesting authority and the requested authority, and in accordance with the arrangements laid down by the latter, the requested authority may allow officials authorised by the requesting authority to be present during the administrative enquiries carried out in the territory of the state of the requested authority, with a view to exchanging the information referred to in Article 2(1)(a). Such administrative enquiries shall be carried out exclusively by the officials of the requested authority. The officials of the requesting authority shall not exercise the powers of inspection conferred on officials of the requested authority. They may, however, have access to the same premises and documents as the latter, through the intermediation of the officials of the requested authority and for the sole purpose of carrying out the administrative enquiry. 3. The officials of the requesting authority present in another state in accordance with paragraphs 1 and 2 must at all times be able to produce written authority stating their identity and their official capacity. Article 14 Simultaneous controls 1. The states may agree to conduct simultaneous controls whenever they consider such controls to be more effective than controls carried out by only one state. 2. A state shall identify independently the taxable persons which it intends to propose for a simultaneous control. The competent authority of that state shall notify the competent authority of the other state concerned of the cases proposed for a simultaneous control. It shall give reasons for its choice, as far as possible, by providing the information which led to its decision. It shall specify the period of time during which such controls should be conducted. 3. A competent authority that receives the proposal for a simultaneous control shall confirm its agreement or communicate its reasoned refusal to the counterpart authority, in principle within two weeks of receipt of the proposal, but within a month of receipt of the proposal at the latest. 4. Each competent authority concerned shall appoint a representative to be responsible for supervising and coordinating the control operation. CHAPTER 4 Eurofisc Article 15 Participation of Norway in Eurofisc 1. In order to promote and facilitate multilateral cooperation in the fight against VAT fraud, Norway shall be invited to participate in the network called Eurofisc, provided for in Chapter X of Council Regulation (EU) No 904/2010 (4) on administrative cooperation and combating fraud in the field of value added tax, under the conditions laid down in this Chapter. 2. The participation of Norway in Eurofisc will not allow the Eurofisc liaison officials designated by the competent authority of a state the access to the databases of the other state. Article 16 Eurofisc liaison officials 1. The competent authority of Norway shall designate at least one Eurofisc liaison official responsible for the exchange of information in the Eurofisc working fields where Norway participates. 2. The Eurofisc liaison officials shall be competent officials within the meaning of Article 4(4). They shall remain accountable only to their national administrations. 3. The Eurofisc liaison officials of Norway shall not be designated as working field coordinators or Eurofisc chair or participate in any vote procedure provided by the Eurofisc rules of procedure. CHAPTER 5 General provisions Article 17 Conditions governing the exchange of information 1. The requested authority shall provide a requesting authority with the information referred in Article 2(1)(a) or with an administrative notification referred to in Article 12 provided that: (a) the number and nature of the requests for information made by the requesting authority do not impose a disproportionate administrative burden on that requested authority; (b) the requesting authority has exhausted the usual sources of information which it could have used in the circumstances to obtain the information requested, without running the risk of jeopardising the achievement of the desired end. 2. This Agreement shall impose no obligation to have enquiries carried out or to provide information on a particular case if the laws or administrative practices of the state which would have to supply the information do not authorise that state to carry out those enquiries or collect or use that information for own purposes. 3. A requested authority may refuse to provide information where the requesting authority is unable, for legal reasons, to provide similar information. The requested authority shall inform the Joint Committee of the grounds for the refusal. 4. The provision of information may be refused where it would lead to the disclosure of a commercial, industrial or professional secret or of a commercial process, or of information whose disclosure would be contrary to public policy. 5. Paragraphs 2, 3 and 4 should on no account be interpreted as authorising the requested authority to refuse to supply information on the sole grounds that this information is held by a bank, other financial institution, nominee or person acting in an agency or fiduciary capacity or because it relates to ownership interests in a legal person. 6. The requested authority shall inform the requesting authority of the grounds for refusing a request for assistance. Article 18 Feedback Where a competent authority provides information pursuant to Article 7 or 10, it may request the competent authority which receives the information to give feedback thereon. If such request is made, the competent authority which receives the information shall, without prejudice to the rules on tax secrecy and data protection applicable in its state, send feedback as soon as possible, provided that this does not impose a disproportionate administrative burden on it. Article 19 Language Requests for assistance, including requests for notification and attached documents, shall be made in a language agreed between the requested and requesting authority. Article 20 Statistical data By 30 June each year, the Parties shall communicate by electronic means to the Joint Committee a list of statistical data on the application of this Title. Article 21 Standard forms and means of communication 1. Any information communicated pursuant to Articles 7, 10, 11, 12 and 18 and the statistics pursuant to Article 20 shall be provided using a standard form referred to in Article 41(2)(d). 2. The standard forms shall be transmitted, in so far as possible, by electronic means. 3. Where the request has not been lodged completely through the electronic systems, the requested authority shall confirm receipt of the request by electronic means without delay and, in any event, no later than five working days after receipt. 4. Where an authority has received a request or information of which it is not the intended recipient, it shall send a message by electronic means to the sender without delay and, in any event, no later than five working days after receipt. TITLE III RECOVERY ASSISTANCE CHAPTER 1 Exchange of information Article 22 Request for information 1. At the request of the applicant authority, the requested authority shall provide any information which is foreseeably relevant to the applicant authority in the recovery of its claims as referred to in Article 2(1)(b). For the purpose of providing that information, the requested authority shall arrange for the carrying-out of any administrative enquiries necessary to obtain it. 2. The requested authority shall not be obliged to supply information: (a) which it would not be able to obtain for the purpose of recovering similar claims on its own behalf; (b) which would disclose any commercial, industrial or professional secrets; (c) the disclosure of which would be liable to prejudice the security of or be contrary to the public policy of the state of the requested authority. 3. Paragraph 2 shall in no case be construed as permitting a requested authority to decline to supply information solely because this information is held by a bank, other financial institution, nominee or person acting in an agency or a fiduciary capacity or because it relates to ownership interests in a person. 4. The requested authority shall inform the applicant authority of the grounds for refusing a request for information. Article 23 Exchange of information without prior request Where a refund of taxes or duties relates to a person established or resident in another state in whose territory this Agreement applies, the state from which the refund is to be made may inform the state of establishment or residence of the pending refund. Article 24 Presence in administrative offices and participation in administrative enquiries 1. By agreement between the applicant authority and the requested authority, and in accordance with the arrangements laid down by the latter, officials authorised by the applicant authority may, with a view to promoting mutual assistance provided for in this Title: (a) be present in the offices where officials of the requested state carry out their duties; (b) be present during administrative enquiries carried out in the territory of the requested state; (c) assist the competent officials of the requested state during court proceedings in that state. 2. In so far as it is permitted under applicable legislation in the requested state, the agreement referred to in paragraph 1(b) may provide that officials of the applicant authority may interview individuals and examine records. 3. Officials authorised by the applicant authority who make use of the possibility offered by paragraphs 1 and 2 must at all times be able to produce written authority stating their identity and their official capacity. CHAPTER 2 Assistance for the notification of documents Article 25 Request for notification of certain documents relating to claims 1. At the request of the applicant authority, the requested authority shall notify to the addressee all documents, including those of a judicial nature, which emanate from the state of the applicant authority and which relate to a claim as referred to in Article 2(1)(b) or to its recovery. The request for notification shall be accompanied by a standard form containing at least the following information: (a) name, address and other data relevant to the identification of the addressee; (b) the purpose of the notification and the period within which notification should be effected; (c) a description of the attached document and the nature and amount of the claim concerned; (d) name, address and other contact details regarding: (i) the office responsible with regard to the attached document; and, if different, (ii) the office where further information can be obtained concerning the notified document or concerning the possibilities to contest the payment obligation. 2. The applicant authority shall make a request for notification pursuant to this article only when it is unable to notify in accordance with the rules governing the notification of the document concerned in its own state or when such notification would give rise to disproportionate difficulties. 3. The requested authority shall forthwith inform the applicant authority of any action taken on its request for notification and in particular of the date of notification of the document to the addressee. Article 26 Means of notification 1. The requested authority shall ensure that notification in the requested state is effected in accordance with the applicable national laws, regulations and administrative practices. 2. Paragraph 1 shall be without prejudice to any other form of notification made by a competent authority of the applicant state in accordance with the rules in force in that state. A competent authority established in the applicant state may notify any document directly by registered mail or electronically to a person in another state in whose territory this Agreement applies. CHAPTER 3 Recovery or precautionary measures Article 27 Request for recovery 1. At the request of the applicant authority, the requested authority shall recover claims which are the subject of an instrument permitting enforcement in the state of the applicant authority. 2. As soon as any relevant information relating to the matter which gave rise to the request for recovery comes to the knowledge of the applicant authority, it shall forward it to the requested authority. Article 28 Conditions governing a request for recovery 1. The applicant authority may not make a request for recovery if and as long as the claim and/or the instrument permitting its enforcement are contested in the state of the applicant authority, except in cases where the third subparagraph of Article 31(4) applies. 2. Before the applicant authority makes a request for recovery, appropriate recovery procedures available in the state of the applicant authority shall be applied, except in the following situations: (a) where it is obvious that there are no assets for recovery in that state or that such procedures will not result in the payment in full of the claim, and the applicant authority has specific information indicating that the person concerned has assets in the state of the requested authority; (b) where recourse to such procedures in the state of the applicant authority would give rise to disproportionate difficulty. Article 29 Instrument permitting enforcement in the state of the requested authority and other accompanying documents 1. Any request for recovery shall be accompanied by a uniform instrument permitting enforcement in the state of the requested authority. This uniform instrument permitting enforcement shall reflect the substantial contents of the initial instrument permitting enforcement in the state of the applicant authority, and constitute the sole basis for recovery and precautionary measures in the state of the requested authority. No act of recognition, supplementing or replacement shall be required in that state. The uniform instrument permitting enforcement shall contain at least the following information: (a) information relevant to the identification of the initial instrument permitting enforcement, a description of the claim, including its nature, the period covered by the claim, any dates of relevance to the enforcement process, and the amount of the claim and its different components such as principal, interest accrued, etc.; (b) name and other data relevant to the identification of the debtor; (c) name, address and other contact details regarding: (i) the office responsible for the assessment of the claim; and, if different, (ii) the office where further information can be obtained concerning the claim or the possibilities for contesting the payment obligation. 2. The request for recovery of a claim may be accompanied by other documents relating to the claim issued by the state of the applicant authority. Article 30 Execution of the request for recovery 1. For the purpose of the recovery in the state of the requested authority, any claim in respect of which a request for recovery has been made shall be treated as if it was a claim of that state, except where otherwise provided for in this Agreement. The requested authority shall make use of the powers and procedures provided under the laws, regulations or administrative provisions of that state applying to the same claims, except where otherwise provided for in this Agreement. The state of the requested authority shall not be obliged to grant to claims whose recovery is requested preferences accorded to similar claims arising in the state of the requested authority, except where otherwise agreed or provided under the law of that state. A state which, in the execution of this Agreement, grants preferences to claims arising in another state may not refuse to grant the same preferences to the same or similar claims of other Member States of the Union on the same conditions. The state of the requested authority shall recover the claim in its own currency. 2. The requested authority shall inform the applicant authority with due diligence of any action it has taken on the request for recovery. 3. From the date on which the recovery request is received, the requested authority shall charge interest for late payment in accordance with the laws, regulations and administrative provisions applicable to its own claims. 4. The requested authority may, where the applicable laws, regulations or administrative provisions so permit, allow the debtor time to pay or authorise payment by instalment and it may charge interest in that respect. It shall inform the applicant authority of any such decision. 5. Without prejudice to Article 37(1), the requested authority shall remit to the applicant authority the amounts recovered with respect to the claim and the interest referred to in paragraphs 3 and 4 of this Article. Article 31 Disputes 1. Disputes concerning the claim, the initial instrument permitting enforcement in the state of the applicant authority or the uniform instrument permitting enforcement in the state of the requested authority and disputes concerning the validity of a notification made by an applicant authority shall fall within the competence of the competent bodies of the state of the applicant authority. If, in the course of the recovery procedure, the claim, the initial instrument permitting enforcement in the state of the applicant authority or the uniform instrument permitting enforcement in the state of the requested authority is contested by an interested party, the requested authority shall inform that party that such an action must be brought by the latter before the competent body of the state of the applicant authority in accordance with the laws in force there. 2. Disputes concerning enforcement measures taken in the state of the requested authority or concerning the validity of a notification made by an authority of the requested state shall be brought before the competent body of that state in accordance with its laws and regulations. 3. Where an action as referred to in paragraph 1 has been brought, the applicant authority shall inform the requested authority thereof and shall indicate the extent to which the claim is not contested. 4. As soon as the requested authority has received the information referred to in paragraph 3, either from the applicant authority or from the interested party, it shall suspend the enforcement procedure, as far as the contested part of the claim is concerned, pending the decision of the body competent in the matter, unless the applicant authority requests otherwise in accordance with the third subparagraph of this paragraph. At the request of the applicant authority, or where otherwise deemed to be necessary by the requested authority, and without prejudice to Article 33, the requested authority may take precautionary measures to guarantee recovery in so far as the applicable laws or regulations allow. The applicant authority may, in accordance with the laws, regulations and administrative practices in force in its state, ask the requested authority to recover a contested claim or the contested part of a claim, in so far as the laws, regulations and administrative practices in force in the state of the requested authority allow. Any such request shall be reasoned. If the result of contestation is subsequently favourable to the debtor, the applicant authority shall be liable for reimbursing any sums recovered, together with any compensation due, in accordance with the laws in force in the state of the requested authority. If a mutual agreement procedure has been initiated between the states of the applicant and requested authorities, and the outcome of the procedure may affect the claim in respect of which assistance has been requested, the recovery measures shall be suspended or stopped until that procedure has been terminated, unless it concerns a case of immediate urgency because of fraud or insolvency. If the recovery measures are suspended or stopped, the second subparagraph shall apply. Article 32 Amendment or withdrawal of the request for recovery assistance 1. The applicant authority shall inform the requested authority immediately of any subsequent amendment to its request for recovery or of the withdrawal of its request, indicating the reasons for amendment or withdrawal. 2. If the amendment of the request is caused by a decision of the competent body referred to in Article 31(1), the applicant authority shall communicate this decision together with a revised uniform instrument permitting enforcement in the state of the requested authority. The requested authority shall then proceed with further recovery measures on the basis of the revised instrument. Recovery or precautionary measures already taken on the basis of the original uniform instrument permitting enforcement in the state of the requested authority may be continued on the basis of the revised instrument, unless the amendment of the request is due to invalidity of the initial instrument permitting enforcement in the state of the applicant authority or the original uniform instrument permitting enforcement in the state of the requested authority. Articles 29 and 31 shall apply in relation to the revised instrument. Article 33 Request for precautionary measures 1. At the request of the applicant authority, the requested authority shall take precautionary measures, if allowed by its national law and in accordance with its administrative practices, to ensure recovery where a claim or the instrument permitting enforcement in the state of the applicant authority is contested at the time when the request is made, or where the claim is not yet the subject of an instrument permitting enforcement in the state of the applicant authority, in so far as precautionary measures are possible in a similar situation under the law and administrative practices of the state of the applicant authority. The document drawn up for permitting precautionary measures in the state of the applicant authority and relating to the claim for which mutual assistance is requested, if any, shall be attached to the request for precautionary measures in the state of the requested authority. This document shall not be subject to any act of recognition, supplementing or replacement in the state of the requested authority. 2. The request for precautionary measures may be accompanied by other documents relating to the claim. Article 34 Rules governing the request for precautionary measures In order to give effect to Article 33, Articles 27(2), 30(1) and (2), 31 and 32 shall apply mutatis mutandis. Article 35 Limits to the requested authority's obligations 1. The requested authority shall not be obliged to grant the assistance provided for in Articles 27 to 33 if recovery of the claim would, because of the situation of the debtor, create serious economic or social difficulties in the state of the requested authority, in so far as the laws, regulations and administrative practices in force in that state allow such exception for national claims. 2. The requested authority shall not be obliged to grant the assistance provided for in Articles 22 and 24 to 33 if the initial request for assistance pursuant to Article 22, 24, 25, 27 or 33 is made in respect of claims which are more than 5 years old, dating from the due date of the claim in the state of the applicant authority to the date of the initial request for assistance. However, in cases where the claim or the initial instrument permitting enforcement in the state of the applicant authority is contested, the 5-year period shall be deemed to begin from the moment when it is established in the state of the applicant authority that the claim or the instrument permitting enforcement may no longer be contested. Moreover, in cases where a postponement of the payment or instalment plan has been granted by the state of the applicant authority, the 5-year period shall be deemed to begin from the moment when the entire payment period has come to its end. However, in those cases the requested authority shall not be obliged to grant assistance in respect of claims which are more than 10 years old, dating from the due date of the claim in the state of the applicant authority. 3. A state shall not be obliged to grant assistance if the total amount of the claims covered by this Agreement, for which assistance is requested, is less than EUR 1 500. 4. The requested authority shall inform the applicant authority of the grounds for refusing a request for assistance. Article 36 Questions on limitation 1. Questions concerning periods of limitation shall be governed solely by the laws in force in the state of the applicant authority. 2. In relation to the suspension, interruption or prolongation of periods of limitation, any steps taken in the recovery of claims by or on behalf of the requested authority in pursuance of a request for assistance which have the effect of suspending, interrupting or prolonging the period of limitation according to the laws in force in the state of the requested authority shall have the same effect in the state of the applicant authority, on condition that the corresponding effect is provided for under the law of the latter state. If suspension, interruption or prolongation of the period of limitation is not possible under the laws in force in the state of the requested authority, any steps taken in the recovery of claims by or on behalf of the requested authority in pursuance of a request for assistance which, if they had been carried out by or on behalf of the applicant authority in its own state, would have had the effect of suspending, interrupting or prolonging the period of limitation according to the laws of that state shall be deemed to have been taken in the latter state, in so far as that effect is concerned. The first and second subparagraphs shall not affect the right of the state of the applicant authority to take measures which have the effect of suspending, interrupting or prolonging the period of limitation in accordance with the laws in force in that state. 3. The applicant authority and the requested authority shall inform each other of any action which interrupts, suspends or prolongs the limitation period of the claim for which the recovery or precautionary measures were requested, or which may have this effect. Article 37 Costs 1. In addition to the amounts referred to in Article 30(5), the requested authority shall seek to recover from the person concerned and retain the costs linked to the recovery that it incurred, in accordance with the laws and regulations of its state. 2. The states shall renounce all claims on each other for the reimbursement of costs arising from any mutual assistance they grant each other pursuant to this Agreement. However, where recovery creates a specific problem, concerns a very large amount in costs or relates to organised crime, the applicant and requested authorities may agree reimbursement arrangements specific to the cases in question. 3. Notwithstanding paragraph 2, the state of the applicant authority shall be liable to the state of the requested authority for any costs and any losses incurred as a result of actions held to be unfounded, as far as either the substance of the claim or the validity of the instrument permitting enforcement and/or precautionary measures issued by the applicant authority are concerned. CHAPTER 4 General rules governing all types of recovery assistance requests Article 38 Use of languages 1. All requests for assistance, standard forms for notification and uniform instruments permitting enforcement in the state of the requested authority shall be sent in, or shall be accompanied by a translation into, the official language, or one of the official languages, of the state of the requested authority. The fact that certain parts thereof are written in a language other than the official language, or one of the official languages, of that state, shall not affect their validity or the validity of the procedure, in so far as that other language is one agreed between the states concerned. 2. The documents for which notification is requested pursuant to Article 25 may be sent to the requested authority in an official language of the state of the applicant authority. 3. Where a request is accompanied by documents other than those referred to in paragraphs 1 and 2, the requested authority may, where necessary, require from the applicant authority a translation of such documents into the official language, or one of the official languages of the state of the requested authority, or into any other language agreed between the states concerned. Article 39 Statistical data By 30 June each year, the Parties shall communicate by electronic means to the Joint Committee a list of statistical data on the application of this Title. Article 40 Standard forms and means of communication 1. Requests pursuant to Article 22(1) for information, requests pursuant to Article 25(1) for notification, requests pursuant to Article 27(1) for recovery or requests pursuant to Article 33(1) for precautionary measures and communication of statistical data pursuant to Article 39 shall be sent by electronic means, using a standard form, unless this is impracticable for technical reasons. As far as possible, these forms shall also be used for any further communication with regard to the request. The uniform instrument permitting enforcement in the state of the requested authority, the document permitting precautionary measures in the state of the applicant authority and the other documents referred to in Articles 29 and 33 shall also be sent by electronic means, unless this is impracticable for technical reasons. Where appropriate, the standard forms may be accompanied by reports, statements and any other documents, or certified true copies or extracts thereof, which shall also be sent by electronic means, unless this is impracticable for technical reasons. Standard forms and communication by electronic means may also be used for the exchange of information pursuant to Article 23. 2. Paragraph 1 shall not apply to the information and documentation obtained through the presence of officials in administrative offices in another state or through participation in administrative enquiries in another state, in accordance with Article 24. 3. If communication is not made by electronic means or with use of standard forms, this shall not affect the validity of the information obtained or of the measures taken in the execution of a request for assistance. 4. The electronic communication network and the standard forms adopted for the implementation of this Agreement may also be used for recovery assistance regarding other claims than the claims referred to in Article 2(1)(b), if such recovery assistance is possible under other bilateral or multilateral legally binding instruments on administrative cooperation between the states. 5. As long and in so far as no detailed rules are adopted by the Joint Committee for the implementation of this Title, the competent authorities shall make use of the rules, including the standard forms, currently adopted for the implementation of Council Directive 2010/24/EU (5), whereby the term ‘Member State’ will be interpreted as including Norway. Notwithstanding the previous subparagraph, the state of the requested authority shall use the euro currency for the transfer of the recovered amounts to the state of the applicant authority, unless otherwise agreed between the states concerned. States where the official currency is not the euro shall agree with Norway on the currency for the transfer of the recovered amounts and notify the Joint Committee thereof. TITLE IV IMPLEMENTATION AND APPLICATION Article 41 Joint Committee 1. The Parties hereby establish a Joint Committee, composed of representatives of the Parties. The Joint Committee shall ensure the proper functioning and implementation of this Agreement. 2. The Joint Committee shall make recommendations for promoting the aims of this Agreement and adopt decisions: (a) determining the frequency of, the practical arrangements for and the exact categories of information subject to automatic exchange referred to in Article 11; (b) reviewing the result of the automatic exchange of information for each category established pursuant to point (a), so as to ensure that this type of exchange takes place only where it is the most efficient means for the exchange of information; (c) establishing new categories of information to be exchanged pursuant to Article 11, should the automatic exchange be the most efficient means of cooperation; (d) for the adoption of the standard form for the communication of information pursuant to Articles 21(1) and 40(1); (e) establishing what shall be transmitted via the CCN/CSI network or other means; (f) on the amount and the modalities of the financial contribution to be made by Norway to the general budget of the Union in respect of the cost generated by its participation in the European information systems, taking into account the decisions referred to in points (d) and (e); (g) adopting implementing rules on the practical arrangements with regard to the organisation of the contacts between the central liaison offices and liaison departments referred to in Article 4(2)(b) and (3)(b); (h) establishing the practical arrangements between the central liaison offices for the implementation of Article 4(5); (i) adopting implementing rules regarding the conversion of the sums to be recovered and the transfer of sums recovered; (j) adopting the procedure for the conclusion of the service level agreement referred to Article 5; (k) to amend the references to legal acts of the Union and Norway included in this Agreement. 3. The Joint Committee shall operate by unanimity. Decisions of the Joint Committee shall be binding on the Parties. The Joint Committee shall adopt its own rules of procedure. 4. The Joint Committee shall meet at least once every two years. Either Party may request that a meeting be convened. The Joint Committee shall be chaired alternately by each of the Parties. The date and place of each meeting, as well as the agenda, shall be determined by agreement between the Parties. 5. If a Party wishes to revise this Agreement, it shall lay a proposal before the Joint Committee, which shall make recommendations, in particular for the commencement of negotiations according to the rules for international negotiations of the Parties. Article 42 Dispute settlement Any dispute between the Parties relating to the interpretation or application of this Agreement shall be resolved through consultations within the Joint Committee. The Parties shall present the relevant information required for a thorough examination of the matter to the Joint Committee, with a view to resolving the dispute. TITLE V FINAL PROVISIONS Article 43 Territorial scope This Agreement shall apply to the territory of Norway, as set forth in Article 1-2 of the Norwegian Act of 19 June 2009 no. 58 relating to Value Added Tax, and to the territories in which the Treaty on European Union and the Treaty on the Functioning of the European Union apply and under the conditions laid down in those Treaties, with the exception of any territory referred to in Article 6 of Directive 2006/112/EC. Article 44 Entry into force, duration and termination 1. This Agreement shall be approved by the Parties in accordance with their own internal legal procedures. 2. This Agreement shall enter into force the first day of the second month following the date on which the Parties have notified each other of the completion of the internal legal procedures referred to in paragraph 1. 3. This Agreement shall be valid indefinitely. Either Party may notify in writing the other Party of its intention to terminate this Agreement. The termination shall take effect six months after the date of the notification. 4. Notifications made in accordance with this Article shall be sent, in the case of the Union, to the General Secretariat of the Council of the Union and, in the case of Norway, to the Ministry of Foreign Affairs. Article 45 Annex The Annex to this Agreement shall form an integral part thereof. Article 46 Relation to bilateral or multilateral agreements or arrangements between the states The provisions of this Agreement shall take precedence over the provisions of any bilateral or multilateral legally binding instrument on administrative cooperation, combating fraud and recovery of claims in the field of VAT that has been concluded between Member State(s) of the Union and Norway, in so far as the provisions of the latter are incompatible with those of this Agreement. Article 47 Authentic text This Agreement is drawn up in duplicate in the Bulgarian, Croatian, Czech, Danish, Dutch, English, Estonian, Finnish, French, German, Greek, Hungarian, Italian, Irish, Latvian, Lithuanian, Maltese, Polish, Portuguese, Romanian, Slovene, Slovak, Spanish, Swedish and Norwegian languages, each of these texts being equally authentic. Article 48 Extension of this Agreement to new Member States of the Union Where a country becomes a Member State of the Union, the text of this Agreement in the language of the new acceding Member State as established by the Council of the Union shall be authenticated by an Exchange of Letters between the Union and Norway. Съставено в София на шести февруари две хиляди и осемнадесета година. Hecho en Sofía, el seis de febrero de dos mil dieciocho. V Sofii dne šestého února dva tisíce osmnáct. Udfærdiget i Sofia den sjette februar to tusind og atten. Geschehen zu Sofia am sechsten Februar zweitausendachtzehn. Kahe tuhande kaheksateistkümnenda aasta veebruarikuu kuuendal päeval Sofias. Έγινε στη Σόφια, στις έξι Φεβρουαρίου δύο χιλιάδες δεκαοκτώ. Done at Sofia on the sixth day of February in the year two thousand and eighteen. Fait à Sofia, le six février deux mille dix-huit. Sastavljeno u Sofiji šestog veljače godine dvije tisuće osamnaeste. Fatto a Sofia, addì sei febbraio duemiladiciotto. Sofijā, divi tūkstoši astoņpadsmitā gada sestajā februārī. Priimta du tūkstančiai aštuonioliktų metų vasario šeštą dieną Sofijoje. Kelt Szófiában, a kétezer-tizennyolcadik év február havának hatodik napján. Magħmul f'Sofija fis-sitt jum ta’ Frar fis-sena elfejn u tmintax. Gedaan te Sofia, zes februari tweeduizend achttien. Sporządzono w Sofii dnia szóstego lutego dwa tysiące osiemnastego roku. Feito em Sófia, em seis de fevereiro de dois mil e dezoito. Întocmit la Sofia, la șase februarie două mii optsprezece. V Sofii šiesteho februára dvetisícosemnásť. V Sofiji, dne šestega februarja leta dva tisoč osemnajst. Tehty Sofiassa kuudentena päivänä helmikuuta vuonna kaksituhattakahdeksantoista. Som skedde i Sofia den sjätte februari år tjugohundraarton. Utferdiget i Sofia, den sjette februar totusenogatten. За Европейския съюз Рог la Unión Europea Za Evropskou unii For Den Europæiske Union Für die Europäische Union Euroopa Liidu nimel Για την Ευρωπαϊκή Ένωση For the European Union Pour l'Union européenne Za Europsku uniju Per l'Unione europea Eiropas Savienības vārdā – Europos Sąjungos vardu Az Európai Unió részéről Għall-Unjoni Ewropea Voor de Europese Unie W imieniu Unii Europejskiej Pela União Europeia Pentru Uniunea Europeană Za Európsku úniu Za Evropsko unijo Euroopan unionin puolesta För Europeiska unionen For Den europeiske union За Кралство Норвегия Por el Reino de Noruega Za Norské království For Kongeriget Norge Für das Königreich Norwegen Norra Kuningriigi nimel Για το Βασίλειο της Νορβηγίας For the Kingdom of Norway Pour le Royaume de Norvège Za Kraljevinu Norvešku Per il Regno di Norvegia Norvēģijas Karalistes vārdā – Norvegijos Karalystės vardu A Norvég Királyság részéről Għar-Renju tan-Norveġja Voor het Koninkrijk Noorwegen W imieniu Królestwa Norwegii Pelo Reino da Noruega Pentru Regatul Norvegiei Za Nórske kráľovstvo Za Kraljevino Norveško Norjan kuningaskunnan puolesta För Konungariket Norge For Kongeriket Norge (1) Directive 95/46/EC of the European Parliament and of the Council of 24 October 1995 on the protection of individuals with regard to the processing of personal data and on the free movement of such data (OJ L 281, 23.11.1995, p. 31). (2) OJ L 347, 11.12.2006, p. 1. (3) Council Implementing Regulation (EU) No 282/2011 of 15 March 2011 laying down implementing measures for Directive 2006/112/EC on the common system of value added tax (OJ L 77, 23.3.2011, p. 1). (4) Council Regulation (EU) No 904/2010 of 7 October 2010 on administrative cooperation and combating fraud in the field of value added tax (OJ L 268, 12.10.2010, p. 1). (5) Council Directive 2010/24/EU of 16 March 2010 concerning mutual assistance for the recovery of claims relating to taxes, duties and other measures (OJ L 84, 31.3.2010, p. 1). ANNEX List of supplies of goods and services to which Article 7(4) applies: (1) imports of negligible value (Article 23 of Council Directive 2009/132/EC (1)); (2) services connected with immovable property (Article 47 of Directive 2006/112/EC); (3) telecommunication services, radio and television broadcasting services and electronically supplied services (Article 3(t) of this Agreement). (1) Council Directive 2009/132/EC of 19 October 2009 determining the scope of Article 143(b) and (c) of Directive 2006/112/EC as regards exemption from value added tax on the final importation of certain goods (OJ L 292, 10.11.2009, p. 5).

Summary: Agreement between the EU and the Kingdom of Norway on administrative cooperation in the field of value-added tax (VAT) Agreement between the EU and the Kingdom of Norway on administrative cooperation in the field of value-added tax (VAT) SUMMARY OF: Agreement between the EU and Norway on administrative cooperation, combating fraud and recovery of claims in the field of VAT Decision (EU) 2017/2381 — signing, on behalf of the EU, of the Agreement between the EU and Norway on administrative cooperation, combating fraud and recovery of claims in the field of VAT Decision (EU) 2018/1089 — conclusion, on behalf of the EU, of the Agreement between the EU and Norway on administrative cooperation, combating fraud and recovery of claims in the field of VAT WHAT IS THE AIM OF THE AGREEMENT AND THE DECISIONS? The agreement establishes administrative cooperation between the EU and Norway to: ensure compliance with value added tax (VAT) legislation in their 2 jurisdictions;protect each signatory’s VAT revenue. Decision (EU) 2017/2381 marks the signing and Decision (EU) 2018/1089 gives the EU’s formal approval to the agreement. KEY POINTS The agreement provides for: information-sharing to help the correct assessment and application of VAT, and to tackle fraud; recovery of VAT claims, including any administrative penalties, fines, fees, surcharges, interest and costs linked to the claims. EU countries and Norway: establish: an authority responsible for applying the agreement;2 central liaison offices: one for administrative cooperation, the other for helping recover VAT revenue; treat information they receive as confidential, but may: disclose this to individuals and authorities applying VAT laws;use it to assess and enforce, including recovery and precautionary measures of other taxes and compulsory social security contributions, and apply administrative or criminal sanctions; accept other officials on their premises for information-sharing and to attend administrative enquiries as observers; agree to carry out simultaneous controls when these are considered more effective than individual ones; provide the Joint Committee (see below for further details about the Committee) with annual statistical data by 30 June. Countries provide information, using a standard form and may ask for feedback: on request from another authority, normally within 3 months, but one month if they already have it; spontaneously where: information they hold is essential for another to apply its tax system effectively;they believe VAT fraud has taken place, or is likely, in another country;there is a risk of tax loss in the other country; automatically for categories determined by the Joint Committee. Countries may refuse to provide information if this would lead to: new obligations on people liable for VAT; disproportionate burdens on their administration; disclosure of a commercial, industrial or professional secret or be contrary to public policy; or the requesting authority has not exhausted its usual sources of information. Countries help each other to recover VAT claims by: providing relevant information; carrying out necessary administrative enquiries; allowing a partner’s officials to be present in their offices, administrative enquiries and court proceedings; notifying addressees of all documents forwarded by another authority; recovering a claim subject to an enforcement order or taking any necessary precautionary measures. Countries: suspend the requested enforcement procedures immediately if the claim is challenged in the applicant country; may refuse to meet the request if the claim: would create serious economic or social difficulties in their jurisdiction;is more than 5 years old, or 10 years under certain conditions;is below €1,500. Disputes over a country’s initial claim and enforcement order are handled within its jurisdiction, those over the way another country complies with that request are handled by its legal system. The agreement enables Norway to participate in Eurofisc, a network of tax administration anti-fraud experts. The agreement creates a Joint Committee of representatives of the EU and Norway to ensure its proper functioning and implementation. This: makes recommendations and adopts decisions; decides on new categories for automatic information exchange; establishes various practical arrangements; takes decisions by unanimity; meets at least once every 2 years; handles any disputes on interpretation or application. The agreement is valid indefinitely. It may be terminated 6 months after either party notifies in writing its intention to do so. DATE OF ENTRY INTO FORCE The agreement entered into force on 1 September 2018. BACKGROUND Norway is the first country with which the EU has a VAT cooperation agreement. A member of the European Economic Area, it has a similar VAT system and a strong track record on VAT cooperation with the EU, particularly on energy. The agreement follows the same structure as used for cooperation between EU countries under Regulation (EU) No 904/2010 for VAT (see summary) and under Council Directive 2010/24/EU (see summary) for the recovery of VAT claims. For more information, see: VAT and administrative cooperation (European Commission). MAIN DOCUMENTS Agreement between the European Union and the Kingdom of Norway on administrative cooperation, combating fraud and recovery of claims in the field of value added tax (OJ L 195, 1.8.2018, pp. 3-22) Council Decision (EU) 2017/2381 of 5 December 2017 on the signing, on behalf of the Union, of the Agreement between the European Union and the Kingdom of Norway on administrative cooperation, combating fraud and recovery of claims in the field of value added tax (OJ L 340, 20.12.2017, pp. 4-5) Council Decision (EU) 2018/1089 of 22 June 2018 on the conclusion, on behalf of the Union, of the Agreement between the European Union and the Kingdom of Norway on administrative cooperation, combating fraud and recovery of claims in the field of value added tax (OJ L 195, 1.8.2018, pp. 1-2) RELATED DOCUMENTS Information on the entry into force of the the Agreement between the European Union and the Kingdom of Norway on administrative cooperation, combating fraud and recovery of claims in the field of value added tax (OJ L 199, 7.8.2018, p. 1) Council Regulation (EU) No 904/2010 of 7 October 2010 on administrative cooperation and combating fraud in the field of value added tax (OJ L 268, 12.10.2010, pp. 1-18) Successive amendments to Regulation (EU) No 904/2010 have been incorporated into the original text. This consolidated version is of documentary value only. Council Directive 2010/24/EU of 16 March 2010 concerning mutual assistance for the recovery of claims relating to taxes, duties and other measures (OJ L 84, 31.3.2010, pp. 1-12) last update 22.07.2020


5.9.2018 EN Official Journal of the European Union L 224/4 COUNCIL DECISION (EU) 2018/1215 of 16 July 2018 on guidelines for the employment policies of the Member States THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty on the Functioning of the European Union, and in particular Article 148(2) thereof, Having regard to the proposal from the European Commission, Having regard to the opinion of the European Parliament (1), Having regard to the opinion of the European Economic and Social Committee (2), After consulting the Committee of the Regions, Having regard to the opinion of the Employment Committee (3), Whereas: (1) Member States and the Union are to work towards developing a coordinated strategy for employment and particularly for promoting a skilled, trained and adaptable workforce as well as labour markets that are responsive to economic change, with a view to achieving the objectives of full employment and social progress set out in Article 3 of the Treaty on European Union. Member States shall regard promoting employment as a matter of common concern and shall coordinate their action in this respect within the Council, taking into account national practices related to the responsibilities of management and labour. (2) The Union is to combat social exclusion and discrimination and promote social justice and protection, as well as equality between women and men. In defining and implementing its policies and activities, the Union is to take into account requirements linked to the promotion of a high level of employment, the guarantee of adequate social protection, the fight against poverty and social exclusion, and a high level of education and training. (3) In accordance with the Treaty on the Functioning of the European Union (TFEU), the Union has developed and implemented policy coordination instruments for fiscal, macroeconomic and structural policies. As part of these instruments, the present Guidelines for the Employment Policies of the Member States, together with the Broad Guidelines for the Economic Policies of the Member States and of the Union set out in Council Recommendation (EU) 2015/1184 (4), form the Integrated Guidelines for Implementing the Europe 2020 strategy. They are to guide policy implementation in the Member States and in the Union, reflecting the interdependence between the Member States. The resulting set of coordinated European and national policies and reforms are to constitute an appropriate overall economic and social policy mix which should achieve positive spill-over effects. (4) The Guidelines for the Employment Policies are consistent with the Stability and Growth Pact, the existing Union legislation and various Union initiatives, including the Council recommendation of 22 April 2013 on establishing a Youth Guarantee (5), the Council Recommendation of 15 February 2016 on the integration of the long-term unemployed into the labour market (6), the Council Recommendation of 19 December 2016 on Upskilling Pathways (7) and the Council Recommendation of 15 March 2018 on a European Framework for Quality and Effective Apprenticeships (8). (5) The European Semester combines the different instruments in an overarching framework for integrated multilateral surveillance of economic, budgetary, employment and social policies and aims to achieve the Europe 2020 targets, including those concerning employment, education and poverty reduction, as set out in Council Decision 2010/707/EU (9). While promoting the policy objectives of boosting investments, pursuing structural reforms, and ensuring responsible fiscal policies, the European Semester has been continuously reinforced and streamlined since 2015. Its employment and social focus has notably been strengthened, and dialogue with the Member States, the social partners and representatives of civil society has been deepened. (6) The Union's recovery from the economic crisis is supporting positive labour market trends, but important challenges and disparities in economic and social performance remain between and within Member States. The crisis underscored the close interdependence of the Member States' economies and labour markets. Ensuring that the Union progresses to a state of smart, sustainable and inclusive growth and job creation is the key challenge faced today. This requires coordinated, ambitious and effective policy action at both Union and national levels, in accordance with the TFEU and the Union's provisions on economic governance. Combining supply- and demand-side measures, such policy action should encompass a boost for investment, a renewed commitment to appropriately sequenced structural reforms that improve productivity, growth performance, social cohesion and economic resilience in the face of shocks and the exercise of fiscal responsibility, while taking into account their employment and social impact. (7) Reforms to the labour market, including the national wage-setting mechanisms, should follow national practices of social dialogue and allow the necessary opportunity for a broad consideration of socioeconomic issues, including improvements in competitiveness, job creation, life-long learning and training policies, as well as real incomes. (8) Member States and the Union should also address the social consequences of the economic and financial crisis and aim to build an inclusive society in which people are empowered to anticipate and manage change, and in which they can actively participate in society and the economy, as outlined in Commission Recommendation 2008/867/EC (10). Inequality and discrimination should be tackled. Access and opportunities for all should be ensured and poverty and social exclusion (including that of children) should be reduced, in particular by ensuring an effective functioning of labour markets and of social protection systems and by removing barriers to education, training and labour-market participation, including investments in early childhood education and care. The potential of people with disabilities to contribute to economic growth and social development should be further realised. As new economic and business models take hold in Union workplaces, employment relationships are also changing. Member States should ensure that employment relationships stemming from new forms of work maintain and strengthen Europe's social model. (9) On 17 November 2017, the European Parliament, the Council and the Commission signed an inter-institutional proclamation for a European Pillar of Social Rights (11), following an extensive and broad public consultation. The Pillar sets out twenty principles and rights to support well-functioning and fair labour markets and welfare systems. They are structured around three categories: equal opportunities and access to the labour market, fair working conditions and social protection and inclusion. The Pillar constitutes a reference framework to monitor the employment and social performance of Member States, to drive reforms at national level and to serve as a compass for a renewed process of convergence across Europe. Given the relevance of these principles for the coordination of structural policies, the employment guidelines are aligned with the European Pillar of Social Rights principles. (10) The European Pillar of Social Rights is accompanied by a scoreboard that should monitor the implementation and progress of the Pillar by tracking trends and performances across Member States and assess progress towards upward socioeconomic convergence. This analysis will feed into the European semester of economic policy coordination, where appropriate. (11) The Integrated Guidelines should form the basis for country-specific recommendations that the Council may address to the Member States. Member States should make full use of the European Social Fund and other Union funds to foster employment, social inclusion, upskilling of the workforce, lifelong learning and education and to improve public administration. While the Integrated Guidelines are addressed to Member States and the Union, they should be implemented in partnership with all national, regional and local authorities, closely involving parliaments, as well as the social partners and representatives of civil society. (12) The Employment Committee and the Social Protection Committee should monitor how the relevant policies are implemented in light of the guidelines for employment policies, in line with their respective Treaty-based mandates. These committees and other Council preparatory bodies involved in the coordination of economic and social policies should work together closely. Policy dialogue between the European Parliament, the Council and the Commission should be maintained, in particular as regards the guidelines for the employment policies of the Member States. (13) The Social Protection Committee was consulted, HAS ADOPTED THIS DECISION: Article 1 The guidelines for the employment policies of the Member States, as set out in the Annex, are hereby adopted. These guidelines shall form part of the Europe 2020 integrated guidelines. Article 2 The Member States shall take the guidelines set out in the Annex into account in their employment policies and reform programmes, which shall be reported in line with Article 148(3) TFEU. Article 3 This Decision is addressed to the Member States. Done at Brussels, 16 July 2018. For the Council The President J. BOGNER-STRAUSS (1) Opinion of 19 April 2018 (not yet published in the Official Journal). (2) Opinion of 14 March 2018 (not yet published in the Official Journal). (3) Opinion of 3 May 2018 (not yet published in the Official Journal). (4) Council Recommendation (EU) 2015/1184 of 14 July 2015 on broad guidelines for the economic policies of the Member States and of the European Union (OJ L 192, 18.7.2015, p. 27). (5) OJ C 120, 26.4.2013, p. 1. (6) OJ C 67, 20.2.2016, p. 1. (7) OJ C 484, 24.12.2016, p. 1. (8) OJ C 153, 2.5.2018, p. 1. (9) Council Decision 2010/707/EU of 21 October 2010 on guidelines for the employment policies of the Member States (OJ L 308, 24.11.2010, p. 46). (10) Commission Recommendation 2008/867/EC of 3 October 2008 on the active inclusion of people excluded from the labour market (OJ L 307, 18.11.2008, p. 11). (11) OJ C 428, 13.12.2017, p. 10. ANNEX Guideline 5: Boosting the demand for labour Member States should facilitate the creation of quality jobs, including by reducing the barriers that businesses face in hiring people, by fostering responsible entrepreneurship and genuine self-employment and, in particular, by supporting the creation and growth of micro and small enterprises. Member States should actively promote the social economy and foster social innovation. Member States should encourage those innovative forms of work which create quality job opportunities. The tax burden should be shifted away from labour to other sources of taxation that are less detrimental to employment and growth, taking account of the redistributive effect of the tax system, while protecting revenue for adequate social protection and growth-enhancing expenditure. Member States should, whilst respecting the autonomy of the social partners, encourage transparent and predictable wage-setting mechanisms which allow for the responsiveness of wages to productivity developments and provide fair wages for a decent standard of living. These mechanisms should take into account differences in skills levels and divergences in economic performance across regions, sectors and companies. Respecting national practices, Member States and the social partners should ensure adequate minimum wage levels, taking into account their impact on competitiveness, job creation and in-work poverty. Guideline 6: Enhancing labour supply and improving access to employment, skills and competences In the context of technological, environmental and demographic change, Member States should promote productivity and employability, in cooperation with the social partners, through an appropriate supply of relevant knowledge, skills and competences throughout people's working lives, responding to current and future labour market needs. Member States should make the necessary investment in both initial and continuing education and training (lifelong learning). They should work together with the social partners, education and training providers, enterprises and other stakeholders to address structural weaknesses in education and training systems, to provide quality and inclusive education, training and life-long learning. They should seek to ensure the transfer of training entitlements during professional transitions. This should enable everyone to anticipate and better adapt to labour market needs, and to successfully manage transitions, thus strengthening the overall resilience of the economy to shocks. Member States should foster equal opportunities for all in education, including early childhood education. They should raise overall education levels, particularly for the least qualified and learners from disadvantaged backgrounds. They should ensure quality learning outcomes, reinforce basic skills, reduce the number of young people leaving school early, and increase adult participation in continuing education and training. Member States should strengthen work-based learning in their vocational education and training systems (including through quality and effective apprenticeships), enhance the labour-market relevance of tertiary education, improve skills monitoring and forecasting, make skills more visible and comparable, and increase opportunities for recognising and validating skills and competences acquired outside formal education and training. They should upgrade and increase the supply and take-up of flexible continuing vocational education and training. Member States should also support lowly skilled adults to maintain or develop their long term employability by boosting access to and take up of quality learning opportunities, through the establishment of Upskilling Pathways, including a skills assessment, an offer of education and training matching labour market opportunities, and the validation and recognition of the skills acquired. Unemployment and inactivity should be tackled, including through effective, timely, coordinated and tailor-made assistance based on support for job-search, training, and requalification. Comprehensive strategies that include in-depth individual assessment at the latest after 18 months of unemployment should be pursued with a view to significantly reducing and preventing long-term and structural unemployment. Youth unemployment and the issue of young people not in employment, education or training, should continue to be addressed through prevention of early school leaving and structural improvement in the school-to-work transition, including through the full implementation of the Youth Guarantee (1). Member States should aim to remove barriers and disincentives to, and provide incentives for, participation in the labour market, in particular for those most removed from the labour market. Member States should support an adapted work environment for people with disabilities, including through targeted financial support and services that enable them to participate in the labour market and in society. Member States should ensure gender equality and increased labour market participation of women, including through ensuring equal opportunities and career progression and eliminating barriers to participation. The gender pay gap should be tackled, including by ensuring equal pay for equal work, or work of equal value. The reconciliation of work, family and private life for both women and men should be promoted, in particular through access to long-term care and affordable quality early childhood education and care services. Member States should ensure that parents and other people with caring responsibilities have access to suitable family leave and flexible working arrangements in order to balance work, family and private life, and to promote a balanced use of these entitlements between women and men. Guideline 7: Enhancing the functioning of labour markets and the effectiveness of social dialogue In order to benefit from a dynamic and productive workforce, new work patterns and business models, Member States should work together with the social partners on flexibility and security principles, balancing rights and obligations. They should reduce and prevent segmentation within labour markets, fight undeclared work and foster the transition towards open-ended forms of employment. Employment protection rules, labour law and institutions should all provide both a suitable environment for recruitment, and the necessary flexibility for employers to adapt swiftly to changes in the economic context, while preserving appropriate security and healthy, safe and well-adapted working environments for workers. Employment relationships that lead to precarious working conditions should be prevented, including by fighting the abuse of atypical contracts. Access to effective and impartial dispute resolution and a right to redress, including adequate compensation, should be ensured in cases of unfair dismissal. Policies should aim to improve and support labour-market participation, matching and transitions. Member States should effectively activate and enable those who can participate in the labour market. Member States should strengthen the effectiveness of active labour-market policies by increasing their targeting, outreach, coverage and better linking them with income support for the unemployed, whilst they are seeking work and based on their rights and responsibilities. Member States should aim for more effective and efficient public employment services by ensuring timely and tailor-made assistance to support jobseekers, supporting labour-market demand and implementing performance-based management. Member States should provide the unemployed with adequate unemployment benefits of reasonable duration, in line with their contributions and national eligibility rules. Such benefits should not disincentivise a prompt return to employment and should be accompanied by active labour market policies. The mobility of learners and workers should be promoted with the aim of enhancing employability skills and exploiting the full potential of the European labour market. Barriers to mobility in education and training, in occupational and personal pensions and in the recognition of qualifications should be removed. Member States should take action to ensure that administrative procedures are not an unnecessary obstacle to workers from other Member States taking up employment. Member States should also prevent abuse of the existing rules and address potential ‘brain drain’ from certain regions. Building on existing national practices, and in order to achieve more effective social dialogue and better socioeconomic outcomes, Member States should ensure the timely and meaningful involvement of the social partners in the design and implementation of employment, social and, where relevant, economic reforms and policies, including through support for increased capacity of the social partners. The social partners should be encouraged to negotiate and conclude collective agreements in matters relevant to them, fully respecting their autonomy and the right to collective action. Where relevant and building on existing national practices, Member States should take into account the experience on employment and social issues of relevant civil society organisations. Guideline 8: Promoting equal opportunities for all, fostering social inclusion and combatting poverty Member States should promote inclusive labour markets, open to all, by putting in place effective measures to fight all forms of discrimination and promote equal opportunities for under-represented groups in the labour market. They should ensure equal treatment regarding employment, social protection, education and access to goods and services, regardless of gender, racial or ethnic origin, religion or belief, disability, age or sexual orientation. Member States should modernise social protection systems to provide effective, efficient, sustainable and adequate social protection throughout all stages of an individual's life, fostering social inclusion and upward social mobility, incentivising labour market participation and addressing inequalities, including through the design of their tax and benefit systems. Complementing universal approaches with selective ones will improve effectiveness of social protection systems. The modernisation of social protection systems should lead to better access, sustainability, adequacy and quality. Member States should develop and implement preventive and integrated strategies through the combination of the three strands of active inclusion: adequate income support, inclusive labour markets and access to quality services, meeting individual needs. Social protection systems should ensure adequate minimum income benefits for everyone lacking sufficient resources and promote social inclusion by encouraging people to actively participate in the labour market and society. The availability of affordable, accessible and quality services such as early childhood education and care, out-of-school care, education, training, housing, health services and long-term care is essential for ensuring equal opportunities, including for women, children and young people. Particular attention should be given to fighting poverty and social exclusion, including reducing in-work and child poverty. Member States should ensure that everyone has access to essential services. For those in need or in a vulnerable situation, Member States should ensure access to adequate social housing or housing assistance. Homelessness should be tackled specifically. The specific needs of people with disabilities should be taken into account. Member States should ensure timely access to affordable preventive and curative health care and long-term care of good quality, while safeguarding sustainability over the long run. In a context of increasing longevity and demographic change, Member States should secure the adequacy and sustainability of pension systems for workers and self-employed, providing equal opportunities for women and men to acquire pension rights, including through supplementary schemes to ensure an adequate income. Pension reforms should be supported by measures that extend working lives, such as by raising the effective retirement age, and be framed within active ageing strategies. Member States should establish a constructive dialogue with the relevant stakeholders, and allow an appropriate phasing in of the reforms. (1) OJ C 120, 26.4.2013, p. 1.

Summary: EU countries’ employment policies: guidelines (2018) EU countries’ employment policies: guidelines (2018) SUMMARY OF: Decision (EU) 2018/1215 — guidelines for the employment policies of the EU countries WHAT IS THE AIM OF THE DECISION? It provides guidance for EU countries when drafting their employment policies and setting national targets, to ensure coordinated EU policies. KEY POINTS These guidelines, along with the broad guidelines for the economic policies of the EU countries and the EU, form the integrated guidelines for implementing the Europe 2020 strategy. They have been issued on an annual basis since 2010. They are aligned with the European Pillar of Social Rights. The 2018 guidelines focus on: Boosting the demand for labour EU countries should take a number of steps including: facilitating the creation of quality jobs fostering responsible entrepreneurship and genuine self-employment; actively promoting the social economy and foster social innovation; encouraging those innovative forms of work which create quality job opportunities; encouraging transparent and predictable wage-setting mechanisms; along with social partners, ensuring adequate minimum wage levels. Enhancing labour supply and improving access to employment, skills and competences EU countries should: promote productivity and employability, in cooperation with the social partners; raise overall education levels, particularly for the least qualified and learners from disadvantaged backgrounds; implement comprehensive strategies to address long-term and structural unemployment; aim to remove barriers and disincentives to participation in the labour market; ensure gender equality and increase the labour market participation of women; tackle the gender pay gap. Enhancing the functioning of labour markets and the effectiveness of social dialogue EU countries should: work together with the social partners on flexibility and security principles, balancing rights and obligations; effectively activate and enable those who can participate in the labour market; provide the unemployed with adequate unemployment benefits of reasonable duration, in accordance with their contributions and national eligibility rules; promote the mobility of learners and workers with the aim of enhancing employability skills and exploiting the full potential of the European labour market; ensure the timely and meaningful involvement of social partners in the design and implementation of relevant policies and reforms. Promoting equal opportunities for all, fostering social inclusion and combatting poverty EU countries should: promote inclusive labour markets, open to all, by putting in place effective measures to fight all forms of discrimination and promote equal opportunities for under-represented groups; modernise social protection systems; develop and implement preventive and integrated strategies through the combination of adequate income supportinclusive labour markets and access to quality servicesmeeting individual needs; ensure the availability of affordable, accessible and quality services, such as early childhood education and careout-of-school careeducationtraininghousinghealth services andlong-term care; provide timely access to affordable preventive and curative health care, and good-quality long-term care; ensure the adequacy and sustainability of pension systems for workers and the self-employed. FROM WHEN DOES THE DECISION APPLY? It has applied since 19 July 2018. BACKGROUND The guidelines are consistent with the Stability and Growth Pact and other EU laws and initiatives including those on: a Youth Guarantee;reintegration of the long-term unemployed into the labour market;Upskilling Pathways. These initiatives are combined in the European Semester, which implements the European Employment Strategy and which monitors the various policies to achieve the Europe 2020 targets. MAIN DOCUMENT Council Decision (EU) 2018/1215 of 16 July 2018 on guidelines for the employment policies of the Member States (OJ L 224, 5.9.2018, pp. 4-9) RELATED DOCUMENTS Council Recommendation of 15 March 2018 on a European Framework for Quality and Effective Apprenticeships (OJ C 153, 2.5.2018, pp. 1-6) Interinstitutional Proclamation on the European Pillar of Social Rights (OJ C 428, 13.12.2017, pp. 10-15) Council Recommendation (EU) 2015/1184 of 14 July 2015 on broad guidelines for the economic policies of the Member States and of the European Union (OJ L 192, 18.7.2015, pp. 27-31) Council Decision 2010/707/EU of 21 October 2010 on guidelines for the employment policies of the Member States (OJ L 308, 24.11.2010, pp. 46-51) last update 05.03.2019