Court confirms validity of reduced VAT rate for books

The ECJ has rejected a Polish challenge on procedural grounds to the validity of point 6 Annex III Principal VAT Directive, i.e. the scope of the reduced VAT rate for books. The Court also held that the principle of equal treatment is not infringed insofar as point 6, in conjunction with art 98(2), excludes electronically supplied books from the reduced rate. Although electronically supplied books and books in other formats are similar, the difference in tax treatment was 'duly justified' because the legislature's aim to create legal certainty in the treatment of electronically supplied services was permissible, and doing so by excluding all electronically supplied services was proportionate (Rzecznik Praw Obywatelskich (RPO): C-390/15).