TIE, food banks, retailers and the sporting goods industries call on the EU Commission to spearhead efforts to encourage Member States to use VAT relief options for donations. Companies should be able to donate goods to recognised organisations without having to pay VAT.
The EU VAT Directive provides for relief conditions for charitable donations, but only a minority of Member States implement them. This discourages making donations and charities miss out. Paradoxically, this means that for unsold goods, destruction is incentivised over donation. This contradicts and undermines the EU’s Green Deal.
See the joint statement here.