EC Directive 2006/112/EC (which recast the Sixth VAT Directive (77/388/EEC) with effect from 1 January 2007) is the principal directive governing value added tax and is implemented in the UK by VATA 1994. It sets out the framework of the tax. After Brexit, VATA 1994 is part of EU retained law.

For further information, see Practice note, VAT: overview.