JJUS00023U Value added tax, technology and taxpayers’ rights
Value added tax (VAT) is one of the most important revenue instruments, nearly universally introduced in the world and continuously gaining importance in the world of taxation.
In the European Union (EU), harmonization of VAT has been a part of the fundaments for the creation and functioning of the Internal Market. For businesses and individual traders, understanding and compliance with VAT rules lies at heart of day-to-day operations. Recently, the EU VAT system has been undergoing significant reforms in order to keep pace with the challenges of today’s global and digital economy and to effectively combat VAT evasion, fraud and avoidance. One of the key roles for these and the future reforms plays technology. Tools such as e-invoicing and real-time reporting, algorithm based big data analysis tools, split-payment and others have been already introduced in many Member States and the European Commission has recently published a proposal for harmonization of digital reporting obligations in the EU. The use of technology in VAT causes a shift of paradigm for reporting collection and auditing of VAT but also for the protection of the fundamental rights of taxpayers including the right to privacy, right to good administration, right of fair trial and others.
The objective of this course is to provide the students with the understanding, on one hand with the fundamental concepts of the EU VAT law and it’s functioning in the context of global economy, and on the other hand, with the most up to date developments as to the use of technology in administration of the tax. Furthermore, the course will explore the relevance, applicability and meaning of human rights and their legal sources as important factors shaping and limiting the use of technology in preventing VAT fraud and streamlining compliance.
The core element of the course will be the implications for tax authorities, businesses and individuals alike, such as obligations and rights emerging as a consequence of interplay of numerous sources of law on a national, European and international level.
The course will be divided in three parts:
- Fundamentals of VAT
- Technology and VAT – the use of modern tools in administration of the tax
- Taxpayers’ Rights – Human Rights and their role in the context of tax and technology.
The course is directed towards students, as well as practitioners who work or are interested in working with taxes in business context, as tax advisors, tax officers or judges. It will be also highly appreciated by (future) policy-markers or designers of technology based tools at a service of tax systems. It will provide high level expertise and most up to date knowledge on the use of technology in VAT law, tools to understand compliance requirements and be able to apply VAT rules to real-life situations including cross-border scenarios. It will also provide a profound understanding of and the legal opportunities and challenges which technology creates for the design and the use of technology in the light of human rights and fundamental principles underlying the EU VAT system and the legal means for effectively addressing them. Thus, it will be also appreciated by lawyers representing taxpayers in front of tax administration and in the courts.
Upon completion of the course the students should:
- Be able to define and explain the fundamental concepts of the EU VAT system and its underlying principles
- Be able to explain what VAT fraud is and how it is done in Europe
- Identify the relevant sources of national, EU and international VAT and human rights law and demonstrate understanding of their binding force, their place in hierarchy of sources of law and the interplay between them
- Demonstrate awareness of the current state of play concerning the use of technology in VAT administration and the main types of technology based tools
- Be able to define and explain on the concept of Taxpayers’ Rights
- Demonstrate awareness of the challenges and opportunities of the use of new technologies in VAT.
Skills and competences:
- Identify, interpret and apply relevant sources of law as well as general principles and theories to real-life situations with the aid of legal method
- Perform simple research tasks: search, identify and use the relevant sources of information as well as be able to take an independent and critical approach to this material
- Identify, formulate and analyze current legal problems concerning the use of technology in VAT
- Within a given time frame independently analyze various legal issues within the course subject matter
- Critically reflect on possible future reforms and the importance of protection of Taxpayers’ Rights
- Be aware of the ongoing research on issues within the course subject matter as well as legislative developments and be able to follow up on the future developments.
Considering the inter-disciplinary nature of the subject matter and its quickly evolving character, the course literature will consist of a selection of:
-selected case law from the Court of Justice of the European Union and the European Court of Human Rights
- selected peer-reviewed academic articles, such as Papis-Almansa, Marta, The Use of New Technologies in VAT and Taxpayers’ Rights (February 7, 2022). CJEU: Recent Developments in Value Added Tax 2021 (Linde 2022), Available at SSRN: https://ssrn.com/abstract=4034858;
-official documents and relevant sources of law, including Proposal for a COUNCIL DIRECTIVE amending Directive 2006/112/EC as regards VAT rules for the digital age, COMCOM(2022) 701 final
The volume of the course literature will not exceed 400 pages.
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- 7,5 ECTS
- Type of assessment
- Oral examination
- Type of assessment details
- Oral exam without preparation, 20 minutes
- Marking scale
- 7-point grading scale
- Censorship form
- External censorship
- Exam period
- Course code
- 7,5 ECTS
- Full Degree MasterFull Degree Master choice
- 1 semester
- See timetable for teaching hours
- Course capacity
- 25 participants
- Faculty of Law
- Marta Agnieszka Papis-Almansa (11-7266777966337566756e78456f7a7733707a336970)