Our professionalized and specialized VAT team is always informed with the latest VAT updates and regulations from around the world. Here you will find all you need to know regarding VAT news and information.

VAT on Digital Services 2020

The Digital Economy is changing the landscape of international taxation and countries around the world are trying keep up with the new challenges. An increasing number of countries are taxing VAT or GST on digital services supplied from abroad to consumers. 2020 brings some new countries to the list of the ones that are already taxing companies who deliver digital services remotely. Coming from South-East Asia, find below the countries where you will need to be compliant with VAT/GST on Digital Services new regulations.   Country Standard VAT/GST rate Levy eServices from Type of VAT  registration Threshold Malaysia 6% 01-Jan-20 Service Tax on Imported Digital Services None Singapore 7% 01-Jan-20 GST registration via Overseas Vendor Registration (OVR) -1. Have an annual global turnover exceeding SGD$100,00; and – 2. Make B2C supplies of digital services in Singapore exceeding SGD$100,000. Thailand 10% 01-Jan-20 VAT on eServices None Vietnam 10% 01-Jul-20 The obligation to collect...

VAT rates for eBooks 2020

Since the European Council agreed to allow member states to apply a reduced VAT rate to electronic publications in October 2018 (1), VAT rates for eBooks have changed fast in EU countries. 2019 witnessed several VAT rate updates for e-publications where numerous countries have reduced the levy on eBooks. In this new year 2020 new countries started or are planning to apply a reduce rate for eBooks. Country Previous rate New rate Date Austria 20% 10% 1 January 2020 Czech Republic 21% 10% 1 April/May 2020 Germany 19% 7% 1 January 2020 Netherlands 21% 9% 1 January 2020 Spain 21% 4% 1 January 2020 In addition to the countries that have or will introduce a reduce VAT rate on eBooks, there are other countries that have already established the same approach back in 2019. Find below these countries and the applicable VAT rate. Country Previous rate New rate Date Belgium 21% 6% 1 April 2019 Croatia 25% 5% 1 January 2019 Finland 24% 10% 1 July 2019 Ireland 23% 9% 1 January 2019 Luxembourg 17%...

French Anti-Fraud Act 2020

Greetings from Global VAT Compliance! We are pleased to give you an overview of the new French Anti-Fraud Act 2020 which introduces important changes that you need to be aware of. On 24 October 2018, the French Anti-Fraud Act was published in the Official Journal and was designed to strengthen the measures to fight against taxpayers’ failure to comply with their tax obligations. This Act might require sellers to apply for a French VAT number, so do not hesitate to contact us if you have any consultation regarding VAT registration in France. For further information, please contact us at gvc@amazonvat.eu.REPORTING REQUIREMENTS AND JOINT LIABILITY OF MARKETPLACES Since 1 July 2019, electronic Marketplaces such as Amazon, eBay or others had been imposed certain obligations such as: Provide, for each transaction, honest, clear and transparent information on the tax and social obligations of sellers who carry out commercial transactions through the platform. Send sellers a statement of the...

Spain relaxes requirement to be VAT registered for companies with other EU VAT numbers granted

 andEvery time a non-establish company wanted to get VAT registered in Spain they were required to present a series of Apostilled documentation which made the VAT registration process long and complicated. The good news is that the Spanish Tax Authority has been aware of the difficulties and hassles involved and has decided to relax the requirements to obtain a VAT number.According to the Official Communication issued by the Spanish Tax Authorities the requirements will be as follows: 1. Original certificate of registration for VAT purposes in another EU country, accompanied by an official translation. 2. In the case of legal entities: a. Original certificate of registration at the company’s registry or another comparable official registry, accompanied by an official translation into Spanish, no older than 6 months old. b. Article of incorporation accompanied by an official translation of the main elements such as regulation and identification of shareholders and directors, corporate...

Italy: First Deadline for Remote Sales Goods reporting 31 October 2019

Back in May 2019, the Italian government issued a Decree stating that marketplaces would need to report information related to their sellers activities under certain conditions, if failed to provide such information they would become liable for unpaid VAT1. The first deadline was set to 31 Juyly and then postponed to 31 October 2019.  As the deadline approaches, it is important for those it effects to understand the implications and necessary steps to follow. The deadline applies for all remote sales of any type of goods, irrespective of their unit value. To clarify, this includes sales made in the second and third quarters of 2019. This applies to the remote sales of electronic goods such as mobile phones, video game consoles and laptops, it also extends to the remote sales of imported electronic goods not exceeding €160 made in the period of 13 February 2019 to 30 April 2019. Going forward the reports will be due on a quarterly basis by the end of the month following the quarter in...

Brexit: UK trade agreements with non-EU countries

As things stand, the UK is due to leave the European Union on 31 October 2019 at 23:00 GMT. This means that after this date and under a no deal Brexit scenario, all trade agreements the UK is part of as an EU member states will no longer apply. Therefore HMRC is back on releasing guides to keep updated the general public and those who may be affected by this situation.In its last press released (1), HMRC lists all countries or trade blocs for which they have already signed Trade Agreements, those who are still in discussion and the Mutual recognition agreements. Trade agreements that have been signed Andean countries Andean countries CARIFORUM trade bloc Central America Chile Eastern and Southern Africa (ESA) trade bloc Faroe Islands Iceland and Norway Israel Liechtenstein Pacific states Palestinian Authority South Korea (agreed in principle and expected to sign shortly) Switzerland Trade agreements still in discussion Albania (Western Balkans) Algeria Andorra and San Marino Bosnia...

European Commission releases VAT Table Reforms

The European Commission has released a table with all VAT reforms announced, legislated and implemented during 2018 that were not published in the last year’s report (1). Below you will find a summary of all the VAT related reforms for each EU Member State. Description of measure Change Date Optional tax liability for real property lease. Base increase Announcement: 27-03-2018 Legislation: 31-07-2018 In force from: 01-10-2018 Increase of the excise duty on sugar sweetened and artificially sweetened beverages. Base increase Announcement: 28-07-2017 Legislation: 25-12-2017 In force from: 01-01-2018 Increase of specific excise duty on tobacco products. Base increase Announcement: 28-07-2017 Legislation: 25-12-2017 In force from: 01-01-2018 Description of measure Change Date Basic allowance reform: second round effects Base increase   Legislation: 24-12-2016In force from: 01-01-2018 Description of measure Change Date A 6 months extension was granted, until 30.6.2019, for the reduced...

VAT on Digital Services 2020

The Digital Economy is changing the landscape of international taxation and countries around the world are trying keep up with the new challenges. An increasing number of countries are taxing VAT or GST on digital services supplied from abroad to consumers. 2020...

read more

VAT rates for eBooks 2020

Since the European Council agreed to allow member states to apply a reduced VAT rate to electronic publications in October 2018 (1), VAT rates for eBooks have changed fast in EU countries. 2019 witnessed several VAT rate updates for e-publications where numerous...

read more

French Anti-Fraud Act 2020

Greetings from Global VAT Compliance! We are pleased to give you an overview of the new French Anti-Fraud Act 2020 which introduces important changes that you need to be aware of. On 24 October 2018, the French Anti-Fraud Act was published in the Official Journal and...

read more

Brexit: UK trade agreements with non-EU countries

As things stand, the UK is due to leave the European Union on 31 October 2019 at 23:00 GMT. This means that after this date and under a no deal Brexit scenario, all trade agreements the UK is part of as an EU member states will no longer apply. Therefore HMRC is back...

read more

European Commission releases VAT Table Reforms

The European Commission has released a table with all VAT reforms announced, legislated and implemented during 2018 that were not published in the last year’s report (1). Below you will find a summary of all the VAT related reforms for each EU Member State....

read more

Croatia to reduce standard VAT rate in 2020

Last Friday, July 26, 2019, the Prime Minister of Croatia Andrej Plenkovic and the Finance Minister Zdravko Maric, presented the latest tax reforms, among which there are some VAT rate cuts, which would reduce tax burden by HRK 3.75 billion (EUR 500 million...

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