Confesercenti
Fondata a Roma nel 1971, la Confesercenti è una delle principali associazioni imprenditoriali del Paese.
ID: 048902197961-65
Lobbying Activity
Response to VAT package on travel and tourism
16 Oct 2025
Impact on SMEs Small and medium-sized enterprises (SMEs) play a vital role in the European travel and tourism sector, representing a significant proportion of travel agencies and tour operators across the EU. The complexity and inconsistency of the current VAT regime, particularly the application of the TOMS (Tour Operator Margin Scheme), pose substantial challenges for these businesses. Administrative Burden: SMEs often lack the resources and specialized staff to manage the intricate requirements of VAT compliance, especially when operating across multiple Member States. The need to interpret and apply varying national rules increases the risk of errors and exposes small businesses to potential penalties. Competitive Disadvantages: The current system may inadvertently favor larger operators who can absorb compliance costs and navigate regulatory complexities more efficiently. SMEs, by contrast, may find themselves at a disadvantage, particularly when competing with non-EU operators who benefit from digitalization and more favorable tax treatment. Cash Flow and Timing of Tax Liability: The timing of VAT liability under the TOMS regime can create cash flow challenges for small businesses. SMEs may be required to pay VAT on their margin before receiving supplier invoices or full payment from customers, which can strain financial resources and limit growth opportunities. Opportunities for Simplification: The extension of the OSS (One Stop Shop) regime to B2B transactions and the adoption of a weighted average VAT rate for the margin would significantly reduce administrative complexity and promote a level playing field. These reforms would enable SMEs to focus on business development rather than regulatory compliance, fostering innovation and competitiveness within the sector. Conclusion: A harmonized and simplified VAT regime is essential to support the growth and sustainability of small businesses in the European travel and tourism industry. The proposed reforms aim to address existing disparities, reduce administrative burdens, and ensure fair competition, thereby strengthening the sectors contribution to the EU economy. The proposed reforms aim to clarify, simplify, and harmonize administrative procedures for travel agencies, while maintaining a fair allocation of tax revenue among Member States. Any alternative approach risks perpetuating current complexities and inconsistencies.
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