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EU transfer of vehicle rules negotiations suspended

Mar 31, 2014
The EU Presidency has suspended negotiations on simplifying the transfer of motor vehicles registered in another Member State within the Single Market following an assessment on the tax implications of the proposed change.

Simplifying the transfer of motor vehicles registered in another Member State within the Single Market addresses the issue that motor vehicle registration problems remain a frequent obstacle for citizens when exercising their rights under EU law in their daily lives.

To address those problems, on 4 April, 2012, the European Commission presented a legislative proposal aimed to harmonise, streamline, and simplify the procedures for re-registration of motor vehicles registered in another Member State.

On this basis, on 9 July, 2013, the European Parliament’s Internal Market and Consumer Protection committee (IMCO) adopted a report seeking to further simplify the vehicle registration formalities and conditions. Following slow progress in the Council, IMCO decided to enter informal negotiations with a view of reaching agreement with the Council on 23 January, 2014.

However, on 31 January, 2014, the majority of Member States requested an impact assessment on the taxation aspects of this proposal before continuing work on it. As a result, the Presidency has suspended its negotiations as it could not get an informal mandate to proceed (see The Mover, February 2014 - Page 21).

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