On the 19th of April 2018, the European Commission published a Communication that includes a set of best practices for the retail sector to support member states' efforts to make it more open, integrated and competitive. This Communication on retail is the last deliverable of the 2015 Single Market Strategy. (More)

The proposed best practices includes guidance on the following issues:

1. Facilitating retail establishment;
2. Reducing restrictions to daily operations of shops;
3. Adopting new approaches to promote vitality of city centres;
4. the Retail Restrictiveness Indicator (RRI)

• On the 6th of November 2018, the Council Directive amending Directive 2006/112/EC on the common system of value added tax as regards the period of application of the optional reverse charge mechanism in relation to supplies of certain goods and services susceptible to fraud and of the Quick Reaction Mechanism against VAT fraud came into effect. This Council Directive is based on a Commission proposal from the 25th of May 2018.
• On the 25th of May 2018, the European Commission presented a Proposal for a Council Directive amending Directive 2006/112/EC on the common system of value added tax as regards the period of application of the optional reverse charge mechanism in relation to supplies of certain goods and services susceptible to fraud and of the Quick Reaction Mechanism against VAT fraud (More)

Legislative proposals: More flexible VAT rates

• On the 18th of January 2018, the European Commission proposed new rules to give member states more flexibility to set Value Added Tax (VAT) rates and to create a better tax environment to help SMEs flourish.This proposals are the final steps of the Commission's overhaul of VAT rules, with the creation of a single EU VAT area to dramatically reduce the 50 billion euro lost to VAT fraud each year in the EU, while supporting business and securing government revenues. (Press release)

1. The following legislative proposals have been tabled: A Proposal for a Directive on the VAT Rates to introduce more flexibility for member states to change their VAT rates they apply to different products. The new harmonised and flexible rules proposed would enable all member states, in addition to the two reduced rates of a minimum of 5 per cent and one 0 per cent rate, to apply a third reduced rate of between 0 per cent and 5 per cent.
2. A Proposal for a Directive for the Reduction of VAT Compliance Costs for Small Businesses

On the 6th of June 2018, the European Commission proposed to to devote 16 billion euro for the next long-term EU budget 2021-2027 to help maintain and further enhance the EU's leadership in space. (More)

The money will be allocated as follows:

1. 9.7 billion euro for Galileo and EGNOS, the EU's global and regional satellite navigation systems;
2. 5.8 billion euro for Copernicus, the EU's Earth Observation programme;
3. 500 million euro to develop new security components

Initially included in the work programme 2017, the European Commission also published a legislative Proposal for a Regulation establishing the space programme of the Union and the European Union Agency for the Space Programme as a follow-up to the 2015 Space Strategy for Europe, bringing together all of the Union’s activities under one umbrella in this highly strategic field and create a fully integrated space programme.

On the 19th of December 2017 the EU Commission presented two legislative proposals to facilitate cross-border business for companies and especially SMEs: (Press release)

1. A Proposal for a Regulation on the Mutual Recognition of Goods lawfully marketed in another state
2. A Proposal for a Regulation on Compliance and Enforcement Rules for Product Safety

On the 2nd of May 2017 the EU Commission presented a measures to facilitate doing cross-border business. The proposed legislation aim to enable citzens and companies to manage their paperwork online in their home country or when working, living or doing business abroad in the EU. (Press release)

1. A Proposal for a Regulation on a Single Digital Gateway: key administrative procedures will be available online, including requests for a birth certificate, to register a car, start a business or register for social security benefits.
2. A Proposal for a Regulation on a Single Market Information Tool, allowing the Commission, in targeted cases, to source defined and readily available data (such as, for example, cost structure, pricing policy or product volumes sold) in cases of serious difficulties with the application of EU Single Market legislation
3. SOLVIT Action Plan to increase the use of SOLVIT, a free of charge service which provides rapid and pragmatic solutions to people and companies all over Europe when they experience difficulties with public administrations while moving or doing business cross-border in the EU.
   
   

On the 10th of January 2017, the European Commission proposed a set of measures for the EU service sector to facilitate services for companies and professionals in the EU. The planned legislative measures include: (Press release)

1. A Proposal for a Regulation introducing an European Services e-card
2. A Proposal for a Directive for a Services Notification Procedure
3. A Proposal for a Directive on a Proportionality Test for new Regulation of Professions

• On the 11th of December 2017 the EU Commission put forward new guidelines on withholding taxes to help Member States reduce costs and simplify procedures for cross-border investors in the EU. The new Code of Conduct offers solutions for investors who, as a result of how withholding taxes are applied, end up paying taxes twice on the income they receive from cross-border investments. (More)
  
  
• On the 4th of October 2017, the European Commission issued a Proposal for a Council Directive to harmonise rules in the Value Added Tax (VAT) system and a Communication to make the VAT system more fraud-proof, announcing the biggest VAT reform of in a quarter of a century. The reboot aims to improve and modernise the system for governments and businesses alike. (More)
  
  

• On the 21st of September 2017, the European Commission published a Communication on a Tax System in the Digital Single Market. This Communication paves the way for legislation to be presented in the course of the work programme 2018. (More)

• On the 20th of December 2017, the European Commission proposed a two-track overhaul to make life simpler for smaller investment firms, whilst ensuring that large, systemic investment firms which carry out bank-like activities and pose similar risks as banks are regulated and supervised as banks. As a consequence, the European Central Bank, in its supervisory capacity in the form of the Single Supervisory Mechanism) would supervise such systemic investment firms in the Banking Union (Press release). The legislative proposals include:

1. A Proposal for a Regulation on the Prudential Requirements of Investment Firms
2. A Proposal for a Directive on the Prudential Supervision of Investment Firms
   
   

• On the 12th of December 2017, the Regulation laying down common rules on securitisation came into effect. It was based on a legislative proposal by the European Commission from the 30th of September 2015 (see ZEI Monitor 2015 below). On the 12th of December 2017, the Regulation on prudential requirements for credit institutions and investment firms (amending Regulation (EU) No 575/2013) came into effect.
  
  
• On the 20th of September 2017 the European Commission published a Communication explaining its measures for reinforcing the integrated supervision of financial markets to strengthen the Capital Markets Union and proposed a series of legislation to pave the way for further financial integration: (Press release)

  1. A Proposal for a Regulation on the mandate of European Supervisory Authorities (ESAs) to reinforce their powers, governance and funding framework. The ESAS include the European Banking Authority (EBA), the European Insurance and Occupational Pensions Authority (EIOPA), the European Securities and Markets Authority (ESMA)

  2. A Proposal for a Regulation on establishing a European Systemic Risk Board (ESRB) and EU macro-prudential oversight of the financial system (amending Regulation (EU) No 1092/2010) to change to composition and organisation of the ESRB, which monitors stability risks for the financial system as a whole.

  3. A Proposal for Directive on the supervision and powers of the European Securities and Markets Authority, ESMA (amending Directive 2014/65/EU on markets in financial instruments and Directive 2009/138/EC on the taking-up and pursuit of the business of Insurance and Reinsurance, Solvency II)

• On the 14th of June 2017, the Regulation on Prospectus Rules for Securities came into effect. It sets new publishing requirments when securities are offered to the public or admitted to trading and was based on a legislative proposal by the European Commission from the 30th of November 2015 (see ZEI Monitor 2015 below).
  
  
• On the 13th of June 2017, the European Commission has put forward a Proposal for a Regulation on the Set-Up of the European Securities and Markets Authority (ESMA) to centralise the supervision and regulation of derivatives contracts.

• Start-Up and Scale-Up Initiative: On the 22nd of November 2016, the European Commission also presented its Communication on the Start-up and Scale-up Initiative, which aims to give Europe's innovative entrepreneurs the opportunity to become world leading companies. It intends to pull together all the possibilities that the EU already offers and adds a new focus on venture capital investment,insolvency law and taxation. (More)
  
  
• Business Insolvency: On the 22nd of November 2016, the European Commission put forward a Proposal for a Directive on Business Insolvency in Europe in order to promote the early restructuring of firms to support growth and protect jobs. (More)
  
  
• Consumer Markets Scoreboard: On the 5th of September 2016, the European Commission published its 2016 Consumer Markets Scoreboard which monitors EU consumers' ratings of how 42 goods and services markets work. The Consumer Scoreboards are used by policymakers and stakeholders to assess the impact of policy over time and compare the situation between member States. A key finding is that improvements are bigger for the services markets than for goods markets. Financial services show the biggest progress. (More)
  
  
• Collaborative Economy: On the 2nd of June 2016, the European Commission presented a Communication with guidance aimed at supporting consumers, businesses and public authorities to engage confidently in the collaborative economy. It explains how existing EU law should be applied on when it comes to market access requirements, consumer protection, liability, labour law and tax. 

• Tackling Geoblocking and Enabling Cross-Border Parcel Delivery: On the 25th of May 2015, the European Commission put forward a package of measures to allow consumers and companies to buy and sell products and services online more easily and confidently across the EU. Delivering on its Digital Single Market and Single Market strategies, the European Commission presented a three-pronged plan to boost e-commerce by tackling geoblocking, making cross-border parcel delivery more affordable and efficient and promoting customer trust through better protection and enforcement. (More)

• On the 15th of June 2016, the European Commission issued Interpretative Guidelines on the EU's Air Passenger Rights Regulation. These new guidelines aim to ensure the better enforcement of passenger rights in the EU by summarising the existing case law and consolidate all ongoing practices. Of particular relevance are: (Press release)

1. Compensation for a delay: the right to compensation after a delay of three hours at the final destination.
2. Compensation for a missed connecting flight: the right to compensation in case of a long delay on arrival due to missed connecting flights.
3. Extraordinary circumstances concerning technical defects linked to the premature malfunction of certain components of an aircraft or aircraft collisions with other aircraft/devices whereby airlines cannot be exempted from the payment of compensation in case of a cancellation and delay.
4. Measures to be taken in extraordinary circumstances: the right to assistance and care during exceptional events such as the ash cloud in 2010.

• Aviation Strategy for Europe: On the 7th of December 2015, the European Commission presented its aviation strategy which rests on two pillars: (Press release)

1. A Communication on a new Aviation Strategy for Europe to improve the competitiveness of the EU's aviation sector in the years to come, including a package of requests to negotiate air transport agreements with third countries.
2. A Proposal for a Regulation on Common Rules in Civil Aviation and an EU Aviation Safety Agency, repealing Regulation (EC) No 216/2008