2.12.2004 Official Journal of the European Union L 357/33 COUNCIL DECISION of 19 November 2004 authorising Germany to apply a measure derogating from Article 17 of the Sixth Directive 77/388/EEC on the harmonisation of the laws of the Member States relating to turnover taxes (2004/817EC) THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty establishing the European Community, Having regard to the Sixth Council Directive 77/388/EEC of 17 May 1977 on the harmonisation of the laws of the Member States relating to turnover taxes — Common system of value added tax: uniform basis of assessment(!), and in particular Article 27(1) thereof, Having regard to the proposal from the Commission, Whereas: (1)  In a letter registered by the Commission’s Secretariat- General on 22 March 2004 the German authorities requested authorisation to continue to apply a derogation which had been granted by Article 1 of Council Decision 2000/186/EC (3). (2)  The other Member States were informed of the request on 6 August 2004. (3)  The derogating measure is intended to exclude expen- diture on goods and services completely, from the right to deduct VAT when the goods and services are used more than 90 % for the private purposes of the taxable person, or of his employees, or for non-business purposes in general. This measure is a derogation from Article 17 of Directive 77[388EEC, as amended by Article 28f of that Directive, and is justified by the need to simplify the procedure for charging VAT; it affects the amount of tax due at the final consumption stage only to a negligible extent. (4)  The authorisation expired on 30 June 2004 (%), although the legal situation and the facts which justified appli- cation of the simplification measure in question have not changed and continue to exist. (") OJ L 145, 13.6.1977, p. 1. Directive as last amended by Directive 2004/66/EC (O] L 168, 1.5.2004, p. 35). (3 OJ L 59, 4.3.2000, p. 12. () Decision 2003/354/EC (O] L 123, 17.5.2003, p. 47). (5)  In its recent judgment of 29 April 2004 in case C-17/01, the Court decided that consideration of the procedure prior to the adoption of Decision 2000/186/EC of 28 February 2000 had disclosed no irregularity such as to affect the wvalidity of that decision. Germany should therefore be authorised to apply the simplification measure during a further period of time until 31 December 2009. (6)  The derogation will not adversely affect the Commu- nities’ own resources from VAT, HAS ADOPTED THIS DECISION: Article 1 By way of derogation from Article 17(2) of Directive 77/388[EEC Germany is authorised to exclude expenditure on goods and services from the right to deduct VAT when the goods and services in question are used more than 90% for the private purposes of a taxable person or of his employees, or, more generally, for non-business purposes. Article 2 This Decision shall apply until 31 December 2009. Article 3 This Decision is addressed to the Federal Republic of Germany. Done at Brussels, 19 November 2004. For the Council The President J. P. H. DONNER