Indirect taxes include value-added tax (VAT) and excise duties on alcohol, tobacco and energy. The standard VAT system generally applies to goods and services bought and sold for use or consumption in the EU. Excise duties are levied on the sale or use of specific products. EU legislative activities are aimed at coordinating and harmonising VAT law and harmonising duties on alcohol, tobacco and energy, to ensure the proper functioning of the internal market. Parliament’s legislative role with regard to VAT and excise duties is limited to the consultation procedure. Source : © European Union, 2026 - EP Read more