1.Member States which, on 1 January 1993, were obliged to increase their standard rate in force at 1 January 1991 by more than 2 % may apply a reduced rate lower than the minimum laid down in Article 99 to the supply of goods and services in the categories set out in Annex III.
[F1The Member States referred to in the first subparagraph may also apply such a rate to children’s clothing and children’s footwear and housing.]
2.Member States may not rely on paragraph 1 to introduce exemptions with deductibility of the VAT paid at the preceding stage.
Textual Amendments