As part of Sweden's Spring Fiscal Policy Bill, a proposal has been made to abolish Sweden's VAT exemption for banking and financial services. The purpose of the plan to abolish the VAT exemption is to increase government revenues to finance reforms in the Budget for 2015. Under EU VAT Directive no 2006/112/EC Article 135, insurance, banking and most financial services activities are exempt from VAT. If Sweden moves ahead with the proposal, it would be the only EU Member State to apply VAT to banking and financial services. However, other EU Member States have requested an EU tax system for...