VAT Directive

The VAT Directive is a set of rules established by the European Union that governs Value Added Tax (VAT) across member countries. It aims to create a consistent system for collecting VAT on goods and services, ensuring that businesses follow similar standards and consumers are treated fairly. The directive covers various aspects, including tax rates, exemptions, and compliance requirements, helping to facilitate trade within the EU while preventing tax avoidance. Essentially, it helps streamline how VAT is implemented across different countries, making cross-border business transactions smoother and more straightforward.