Letter to Commission on VAT exemption for small businesses

Molly has written to the Commission seeking clarification on a €100,000 exemption on VAT for small and micro businesses. New VAT rules governing online sales of digital products have had a detrimental impact on many small and micro businesses in the South West and Molly has been at the forefront of a campaign to see a €100,000 exemption threshold.

The letter seeks clarification on whether and when the exemption would come into force and whether such an exemption will be back-dated to the 1st January 2015.

Molly has also highlighted how in previous negotiations, the UK government has blocked this exemption, despite UK small businesses now being some of the worst affected by the new VAT rules.

VAT letter in full