(1)

Pursuant to Article 287, point (13), of Directive 2006/112/EC, Malta may exempt from value added tax (‘VAT’) three categories of taxable persons: those whose annual turnover is no higher than EUR 37 000 if the economic activity consists principally in the supply of goods; those whose annual turnover is no higher than EUR 24 300 if the economic activity consists principally in the supply of services with a low value added (high inputs); and those whose annual turnover is no higher than EUR 14 600 in other cases, namely supplies of services with a high value added (low inputs).

(2)

By means of Council Implementing Decision (EU) 2018/279 (2) Malta was authorised to apply, until 31 December 2024, a special measure derogating from Article 287, point (13), of Directive 2006/112/EC to exempt from VAT taxable persons whose economic activity consists principally in supplies of services with a high value added (low inputs) and whose annual turnover is no higher than EUR 20 000.

(3)

By letter registered with the Commission on 20 October 2020, Malta requested authorisation to apply, until 31 December 2024, a measure derogating from Article 287, point (13), of Directive 2006/112/EC, allowing Malta to exempt from VAT taxable persons whose economic activity consists principally in the supply of services with a low value added (high inputs), or the supply of services with a high value added (low inputs) and whose annual turnover is no higher than EUR 30 000 (‘the derogating measure’). The Commission requested further information related to the request, which was provided by letter registered with the Commission on 9 November 2020.

(4)

In accordance with Article 395(2), second subparagraph, of Directive 2006/112/EC, the Commission, by letter dated 17 December 2020, transmitted Malta’s request to the other Member States. By letter dated 18 December 2020, the Commission notified Malta that it had all the information it considered necessary for the appraisal of the request.

(5)

Given that the increased threshold is expected to reduce VAT obligations and thus the administrative burden and compliance costs for small enterprises, and simplify VAT collection for the tax authorities, and given that the impact on the total VAT revenue of Malta collected at the stage of final consumption is negligible, Malta should be authorised to apply the derogating measure.

(6)

The derogating measure will not adversely affect the Union’s own resources accruing from VAT because Malta will carry out a compensation calculation in accordance with Article 6 of Council Regulation (EEC, Euratom) No 1553/89 (3).

(7)

The authorisation to apply the derogating measure should be limited in time. The time limit should be sufficient to allow for the evaluation of the effectiveness and appropriateness of the threshold. Moreover, Article 287 of Directive 2006/112/EC is deleted by Council Directive (EU) 2020/285 (4), which lays down simpler VAT rules for small enterprises, with effect from 1 January 2025. It is therefore appropriate to authorise Malta to apply the derogating measure until 31 December 2024.

(8)

Implementing Decision (EU) 2018/279 should therefore be repealed,

(1)

On 19 June 2020 the Estonian Health Board (‘the competent authority’) adopted a decision in accordance with Article 55(1), first subparagraph, of Regulation (EU) No 528/2012 to permit the making available on the market and use by professional users of the biocidal product Biobor JF for the antimicrobial treatment of aircraft fuel tanks and fuel systems until 16 December 2020 (‘the action’). The competent authority informed the Commission and the competent authorities of the other Member States about the action and the justification for it, in accordance with Article 55(1), second subparagraph, of that Regulation.

(2)

According to the information provided by the competent authority, the action was necessary in order to protect public health. The microbiological contamination of aircraft fuel tanks and fuel systems can lead to malfunctions of the aircraft engine and endanger its airworthiness, thus endangering the safety of passengers and crew. The COVID-19 pandemic and the ensuing flight restrictions led to numerous aircraft being temporarily parked. The immobility of aircraft is an aggravating factor of microbiological contamination.

(3)

Biobor JF contains 2,2’-(1-methyltrimethylenedioxy)bis-(4-methyl-1,3,2-dioxaborinane) (CAS number 2665-13-6) and 2,2’-oxybis (4,4,6-trimethyl-1,3,2-dioxaborinane) (CAS number 14697-50-8), active substances for use in biocidal products of product-type 6 as preservatives for products during storage as defined in Annex V to Regulation (EU) No 528/2012. As those active substances are not listed in Annex II to Commission Delegated Regulation (EU) No 1062/2014 (2), they are not included in the work programme for the systematic examination of all existing active substances contained in biocidal products referred to in Regulation (EU) No 528/2012. Article 89 of that Regulation therefore does not apply to them and they have to be assessed and approved before biocidal products containing them can be authorised also at national level.

(4)

On 16 December 2020, the Commission received a reasoned request from the competent authority to extend the action in accordance with Article 55(1), third subparagraph, of Regulation (EU) No 528/2012. The reasoned request was made on the basis of concerns that air transport safety might continue to be endangered by microbiological contamination of aircraft fuel tanks and fuel systems after 16 December 2020 and the claim that Biobor JF is essential in order to control such microbiological contamination.

(5)

According to the information provided by the competent authority, the only alternative biocidal product recommended by aircraft and engine manufacturers for the treatment of microbiological contamination (Kathon™ FP 1.5) was withdrawn from the market in March 2020 due to severe engine behaviour anomalies noticed after the treatment with that product.

(6)

The mechanical treatment of microbiological contamination of aircraft fuel tanks and fuel systems is not always possible and agreed aviation procedures require the treatment with a biocidal product even when mechanical cleaning is possible. Moreover, mechanical treatment would expose workers to toxic gases and should therefore be avoided.

(7)

According to the information available to the Commission, the manufacturer of Biobor JF has taken steps towards the regular authorisation of the product and an application for approval of the active substances it contains is expected to be submitted in the near future. The approval of the active substances and subsequent authorisation of the biocidal product would constitute a permanent solution for the future, but a significant amount of time would be needed for the completion of those procedures.

(8)

The lack of control of microbiological contamination of aircraft fuel tanks and fuel systems might endanger the air transport safety and that danger cannot be adequately contained by using another biocidal product or by other means It is therefore appropriate to allow the competent authority to extend the action.

(9)

Considering that the action has expired on 16 December 2020, this Decision should have retroactive effect.

(10)

The measures provided for in this Decision are in accordance with the opinion of the Standing Committee on Biocidal Products,

(1)

Regulation (EU) 2017/625 lays down rules for the performance of official controls and other official activities, including for the selection and designation of European Union reference centres for animal welfare. European Union reference centres for animal welfare support horizontal activities of the Commission and of the Member States in the area of welfare requirements for animals, which is referred to in Article 1(2)(f) of Regulation (EU) 2017/625.

(2)

Commission Implementing Regulation (EU) 2018/329 (2) designated a European Union reference centre for animal welfare that, according to its work programme, focuses on pigs, and Commission Implementing Regulation (EU) 2019/1685 (3) designated a European Union reference centre for animal welfare for poultry and other small farmed animals.

(3)

Subsequently, in accordance with Article 95 of Regulation (EU) 2017/625, the Commission carried out a public selection process through a call for selection and designation of a European Union reference centre for animal welfare for ruminants and equines.

(4)

The evaluation and selection committee appointed for the selection process referred to in recital 3 concluded that the consortium led by the Swedish University of Agricultural Sciences and the Swedish Centre for Animal Welfare (Sweden), and also composed of the University of Natural Resources and Life Sciences (Austria), Ellinikos Georgikos Organismos-Dimitra/Veterinary Research Institute (Greece), the National Institute for Agriculture, Food, and Environment (France), University College Dublin (Ireland) and the Instituto Zooprofilattico Sperimentale dell’Abruzzo e del Molise ‘G. Caporale’ (Italy) (the consortium), complies with the requirements laid down in Article 95(3) of Regulation (EU) 2017/625 and should be responsible for the tasks laid down in Article 96 of that Regulation, as regards ruminants and equines.

(5)

The consortium should therefore be designated as the European Union reference centre for animal welfare for ruminants and equines, which will be responsible for supporting tasks included in the European Union reference centres’ annual or multiannual work programmes. These work programmes are required to be established in conformity with the objectives and priorities of the relevant work programmes adopted by the Commission in accordance with Article 36 of Regulation (EU) No 652/2014 of the European Parliament and of the Council (4).

(6)

Article 95(2)(b) of Regulation (EU) 2017/625 requires that the designation of a European Union reference centre for animal welfare is to be limited in time or reviewed regularly. Therefore, the designation of the European Union reference centre for animal welfare for ruminants and equines should be reviewed every five years.

(7)

The designated European Union reference centre for animal welfare for ruminants and equines should be given time to prepare its work programme for the next budgetary period. Therefore, this Decision should apply from 1 June 2021,