Non-transposition of EU legislation: Commission takes action to ensure complete and timely transposition of EU directives

This article is brought to you in association with the European Commission.

Today the Commission is adopting a package of infringement decisions due to the absence of communication by Member States of measures taken to transpose EU directives into national law (referred to as ‘non-communication infringements’). The Commission is sending a letter of formal notice to those Member States who have failed to notify national measures transposing directives, whose transposition deadline expired recently.  In this case, there are 26 Member States who have not yet notified full transposition measures for three EU directives in the fields of job and social rights, taxation and customs union, financial services, and Capital Market Union. Member States concerned now have two months to reply to the letters of formal notice and complete their transposition, or the Commission may decide to issue a reasoned opinion.

European Accessibility Act: Directive (EU) 2019/882 on the accessibility requirements for products and services

The European Accessibility Act requires some products and services, such as public transport, banking and online shops to be accessible for persons with disabilities; they represent almost 87 million European citizens. Accessibility is a precondition for participation in society on equal basis with others. Businesses selling products and services covered by the Directive must ensure that they comply with a set of common EU accessibility requirements by 28 June 2025. The following Member States have not transposed the European Accessibility Act into national law by the deadline of 28 June 2022 and are today receiving a letter of formal notice: Belgium, Bulgaria, Czechia, Germany, Ireland, Greece, Spain, France, Croatia, Cyprus, Latvia, Lithuania, Luxembourg, Hungary, Malta, the Netherlands, Austria, Poland, Portugal, Romania, Slovenia, Slovakia, Finland and Sweden.

VAT and excise duty: Directive (EU) 2019/2235 amending Directive 2006/112/EC on the common system of value added tax and Directive 2008/118/EC concerning the general arrangements for excise duty as regards defence efforts within the Union framework

Directive (EU) 2019/2235 aligns the VAT and excise duty treatment of defence efforts undertaken within the EU and within the North Atlantic Treaty Organization (NATO) umbrella. It introduces an exemption from VAT and excise duties for supplies to armed forces when these forces are deployed outside their own Member State and take part in activities under the Common Security and Defence Policy. Supplies to armed forces participating in a NATO defence effort can already benefit from such exemptions. By aligning the tax treatment of both defence efforts, the Directive contributes to improving European capabilities in the field of defence and crisis management and strengthening Union security and defence. The Commission is today sending a letter of formal notice to Belgium, Greece, Spain, Austria and Portugal since they have not transposed the Directive by the deadline of 30 June 2022.

Key investor information: Directive (EU) 2021/2261 amending Directive 2009/65/EC as regards the use of key information documents by management companies of undertakings for collective investment in transferable securities (UCITS)

Each UCITSmust provide ‘key investor information’ in accordance with EU rules. On 1 January 2023, UCITS will be required to provide the Key Information Document for Packaged Retail Investment and Insurance Products (the PRIIPs KID). This document summarises and explains the key elements of each investment product – especially the costs, risks, and potential returns – so that private investors can better understand the product they are buying, and compare it with other products. Directive (EU) 2021/2261, amending Directive 2009/65/EC, the so-called UCITS Directive, aims to avoid a situation where two different pre-contractual disclosure documents are made available to retail investors in respect of the same UCITS. In particular, the UCITS Directive will end the obligation for retail investment funds to publish UCITS ‘key investor information documents’ as of 1 January 2023, to avoid duplicate pre-contractual disclosures. The Commission is today sending letters of formal notice to Belgium, Czechia, Denmark, Greece, Spain, Italy, Cyprus, Hungary, the Netherlands, Austria, Poland, Slovenia, Finland and Sweden since they have not transposed the Directive by the deadline of 30 June 2022.