Reverse-charge applicable on B2B supplies on local B2B supplies of electronic equipment as of Oct 1, 2020

Article 11E – Reverse charge on certain goods if supplied to taxable persons

As from 1st of October 2020, Article 11E is being into effect to combat fraud in the field of mobile phones, other devices operating in networks, microprocessors, central processing units, gaming consoles, tablets and laptops.
Under Article 11E, the recipient of the above mentioned goods will be responsible to account for VAT under the reverse charge provisions, when these are acquired in the course of a business activity even if the relevant goods form capital assets of the business.
Suppliers of the goods mentioned above, are obliged to keep a file in which all transactions subject to this Article are recorded separately, for a period of six (6) years, starting from the date on which the goods are delivered to the buyer.

Source VAT Law amendments published on the 20th of August 2020 to improve collection and fight fraud




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