(1)

The Council may authorise Member States to apply a reduced rate of VAT to certain labour-intensive services, which must meet the conditions provided for in Directive 2006/112/EC and be included in the list given in Annex IV thereto.

(2)

Directive No 2006/112/EC extended the period of application of the reduced rates of VAT until 31 December 2010. It enables Member States, both those wishing to avail themselves for the first time of the facility provided for, and those wishing to change the list of services to which they have applied the said provision in the past, to submit their request to the Commission.

(3)

This is intended to make it possible for all Member States to take part under the same conditions in the trial of reduced rates for labour-intensive services. It is therefore appropriate to grant the acceding States, from their accession to the European Union, the same possibility of applying a reduced rate of VAT to certain labour-intensive services.

(4)

By letter dated 31 March 2006, Romania submitted a request to apply a reduced rate of VAT to certain labour-intensive services covered by the said trial.

(5)

To ensure equality among the Member States, this Decision should apply from the date of entry into force of the Treaty of Accession of Bulgaria and Romania.

(6)

This Decision will have no impact on the Communities' own resources derived from VAT,

(a)

minor services of repairing clothing and household linen (including mending and alteration);

(b)

domestic care services.