PUBLIC - Croatia, the War, and the Future

(b) Article 80 (1)(b) is replaced by the following:
'(b) where the consideration is lower than the open market value and the supplier does not
have a full right of deduction under Articles 167 to 171 and Articles 173 to 177 and the
supply is subject to an exemption under Articles 132, 135, 136, 371, 375, 376, 377, 378(2),
379(2) or Articles 380 to 390c;'
(c) Article 136, subparagraph (a), is replaced by the following:
'(a) the supply of goods used solely for an activity exempted under Articles 132, 135, 371,
375, 376 and 377, Article 378(2), Article 379(2) and Articles 380 to 390c, if those goods have
not given rise to deductibility;'
(d) Article 221(3) is replaced by the following:
'3. Member States may release taxable persons from the obligation laid down in Article 220 to
issue an invoice in respect of supplies of goods or services which they have made in their
territory and which are exempt, with or without deductibility of the VAT paid at the preceding
stage, pursuant to Articles 110 and 111, Article 125(1), Article 127, Article 128(1), Articles
132, 135, 136, 371, 375, 376 and 377, Article 378(2), Article 379(2) and Articles 380 to
390c.'
(e) The following Article is inserted after Article 390b:
'Article 390c
Croatia may, in accordance with the conditions applying in that Member State on the date
of its accession, continue to exempt the following transactions:
(a) the supply of building land, with or without buildings built on it, as referred to in point (j)
of Article 135(1) and in point (9) of Annex X, Part B, non-renewable, until 31 December
2014;
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ANNEX I DGF 2A / DG K 2 EN