Hello and welcome to the VATupdate Newsletter.
It’s the dark days before Christmas. Here in the Netherlands it’s rainy and cloudy weather, and even expecting some snow. Not real snow, but a white layer that will probably result in huge traffic jams, because Dutch people simply are not used to dealing with snow with their summer tires still on their cars.
The VATupdate Team is mainly working from home, so no traffic jams there. It’s all work, work, work. And fun of course, as VAT is always fun!
As you may have noted, we have started a series of posts with highlights of 2021. Normally, we provide you an overview of the annual trends in our last Newsletter of December, but we started early this year as a lot has happened. Brexit, e-commerce, controls and technology, seem to be the most favourite topics so far.
What are your (VAT) highlights of this year? Let us know by sending us an email or leave a comment on LinkedIn.
If you have any comments, questions or ideas that you want to share with us, please send us an email at [email protected] or leave a comment under the posts of this newsletter on LinkedIn.
To go to the specific region of your interest, follow the link below.
We’re looking forward seeing you again next week.
WORLD
- Looking back @2021 #1: Brexit
- Looking back @2021 #2: E-Commerce VAT Directive launched in the EU per July 1, 2021
- Looking back @2021 #3: Next to the EU, 14 countries implemented VAT on E-Commerce, another 7 will implement in 2022
- Looking back @2021 #4: Saudi-Arabia is the first country in the Middle East launching E-Invoicing, UAE may follow
- Looking back @2021 #5: The concept of Fixed Establishments remains a major risk, and even why?
- Job opportunities in Australia, Hungary, Switzerland and United Kingdom
- Job opportunities in Australia, Poland, UAE and United Kingdom
- Job opportunities in Belgium, Germany, India, Sweden and United Kingdom
WEBINARS / EVENTS
- SNI Webinar – New Digital VAT Return in Norway (Dec 2, 2021)
- Sovos webinar – VAT Snapshot: What’s new in the world of e-invoicing (Dec 2, 2021)
- Expert View – Episode 1 – Global Challenges of Indirect Tax
- Global Customs Newsletter #3/2021
- How can special customs procedures reduce the duties you are charged?
- How to Gain Transparency and Control of Your Tax Engine
- How to Prepare for a VAT Audit
- Ryan Acquires Qvalia’s VAT Compliance and Recovery Business in the Nordics
- The Case for a Tax Control Framework
- The OECD publishes the Spanish version of ‘Panorama of electronic commerce’
- What awaits countries in digital indirect tax reporting in 2022
EUROPE
- ECJ – Advertising expenses and VAT deduction (on the Amper Metal case, C-334/20)
- ECJ C-358/20: A tax authority may require taxpayers to pay the VAT due on taxable transactions
- ECJ C-641/21 (Climate Corporation Emissions Trading) – Questions – Place of supply when partcipating in tax evasion
- ECJ cases on “management of special investment funds”
- ECJ VAT Cases – Developments in November 2021
- Flashback on ECJ Cases – C-174/14 (Saudaçor) – Company of the Azores Autonomous Region carries out economic activity
- Flashback on ECJ Cases – C-453/15 (A and B) – Place of supply of greenhouse gas emission allowances is where the customer is established
- Flashback on ECJ Cases – C-72/13 (Gmina Wrocław) – Transfer by a municipality of elements of its heritage
- Roadtrip through ECJ Cases – Focus on ”Taxable person” (Art. 9)
- Growing importance of the ECJ case C-235/18 (Vega International) on similar business models, also VAT treatment of charging electric vehicles
- Customs Risk Management Framework (CRMF) – Risk management system to exchange real-time information
- Different VAT rules within the EU (importation of goods)
- Ecofin will discuss the VAT rate proposal in its meeting on Dec 7, 2021
- EU Carbon Border Adjustment Mechanism: ensuring your supply chain is compliant
- EU reduced VAT rate freedoms for 2022 – progress update
- EU VAT Gap now €136 billion in missing revenues – €6.6bn improvement
- European Commission urges Cyprus to transpose new VAT e-commerce rules
- European Commission urges Germany to allow for automated exchange of information related to call-off stock arrangements
- Intrastat changes as from 2022: Nature of transaction codes & Harmonized System
- Intrastat Modernization 2022
- VAT Gap: While gap continues to decrease, EU countries lost €134 billion in VAT revenues in 2019
- VAT legislation in the European Union – VAT Directive and Implementing Regulation, VAT Laws of the EU Member States
- A VAT cash-out for a club and a wage tax for a trainer on a trainer’s transfer fee?
- Additional VAT amendments
- Recent VAT Developments in Belgium – An overview
- Reverse charge mechanism: how to apply it?
- Towards a digitalization of tax audits
- VAT exemption for transport services directly related to the export of goods: application postponed until 1 April 2022
- VAT Groups need to file Declaration to the National Bank
- Administrative Court rules on Correction of Error request related to overpayment of VAT later assessed in another EU Member State
- Administrative Court rules on Correction of Error request related to overpayment of VAT later assessed in another EU MS
- Cyprus Clarifies Administrative Fines for DAC6 Reporting and Extends Relief
- Protests about duration of VAT reductions on electricity bills
- Changes to import VAT in France come into effect January 1, 2022
- Distance sales regime – Regularization of errors made by French operators
- France: Two New Declarations to Replace the DEB
- French DEB return replaced by Intrastat and ECSL returns starting 2022
- Implications of revised VAT reverse-charge on imports
- VAT on advanced and deferred payments in France
- (New) Federal Ministry of Finance draft on VAT exempt cost sharing groups – it’s Christmas time!
- Confirmation procedure for VAT-free teaching services
- EU Infringement: Germany – Automated exchange with other Member States of certain information related to the application of VAT legislation
- Food served without tray taxed at reduced VAT rate, with tray at standard rate
- Invoice description of services for goods in the low price segment
- News on EU VAT registrations for UK tour operators
- Reduced rate for taxable imports of collector coins
- Retention of invoices; electronic or computerized point of sale systems or cash registers
- Transfer of the company property to the previous subsidiary as part of the termination of the tax group as a business sale
- Clarifications on the possibility of revoking the decision to grant VAT suspension on real estate
- Greece extends temporary reduced VAT until June 2022
- VAT losses at €5.3 billion during 2019
- Entry of invoices to and from abroad in the Exchange System and abolishment Esterometro has been postponed till July 2022
- Implementation of VAT “quick fixes” directive
- Invoices issued by the beneficiaries of a deceased natural person
- Italian e-invoicing regulation overview
- Italy Converts Temporary Super-Reduced VAT Rate for Natural Gas Supplies into Law
- Italy SdI cross-border reporting & Esterometro withdrawal delay to July 2022
- Italy still top in EU for VAT evasion
- New obligation to submit cross-border e-invoice data applies as from 1 January 2022
- Official implementation of the Quick Fixes applicable as of Dec 1, 2021
- Parliament Enacts Temporary Reduction of VAT Rate on Qualifying Supplies of Natural Gas
- Reduction in the VAT rate for the supply of methane gas
- Use of VAT ID attributed to the permanent establishment following the transfer of the taxpayer’s name
- Budget 2022: Reduction in the VAT rate on books and periodicals from 12% to the 5%
- Latvia lost EUR 237 million in VAT revenues in 2019
- Correction VAT return is obligatory
- Deduction of input tax for the purchase of solar panels and supporting construction of a care home
- Deduction of VAT renovation costs due to plan to rent apartments taxed as a short-stay
- No refund of sales tax on subscription fees despite the option to donate MBs
- Q3 2021 VAT declaration in EU VAT One Stop Shop not accepted
- Tax authorities report technical problem with the VAT additional assessments of Q3 2021
- Unjustified fines for non-compliance with VAT
- Updated decision on VAT levy and application KOR for solar panels
- VAT report may wrongly not be accepted in the EU VAT One Stop Shop
- Input VAT deduction of cabins rented out to industrial companies for use by their employees
- Norway – 2022 Digital VAT Return Coming Soon
- Norway non-resident e-commerce and digital services VAT rules – VOES
- “The Polish Deal” and changes in the scope of the voluntary disclosure correcting SAF-T with declaration file
- Clarification on contacts with the European Commission on VAT rate reduction on various articles
- Electronic invoices in Poland mandatory by 2023
- Entrepreneurs issuing documents in the KSeF will receive a VAT refund in 40 instead of 60 days
- Major VAT changes in Poland coming into force Jan. 1, 2022 – what to expect?
- Poland cuts VAT on natural gas as prices surge
- Poland’s new National System of e-Invoices (KSeF)
- Q&A: VAT groups, Slim VAT 2, structured invoices and other important changes in VAT for 2022
- The SLIM VAT 3 simplification package for business will be consulted later this year
- New documents regarding Romanian e-invoicing system
- Romania B2B RO e-invoicing eFactură 2022 registrations
- Romania failed to collect one-third of VAT in 2019
- Romanian SAF-T returns mandatory starting January 2022
- Turkey delays 2% Accommodation Tax again
- Turkey Reduces VAT Rate for Legal Assistance Services to 8%
- Carrying out transactions without VAT: how to fill in the VAT return?
- Engineering services for real estate located in the customs territory of Ukraine
- Imported goods: should their volume be reflected in VAT reporting?
- International transport: what documents do they support for the purposes of applying the zero VAT rate?
- VAT due on compensated court fee?
- “Fine Distinctions” Lead To £2.5 Million VAT Bill For Insulated Conservatory Roof Specialist
- A VAT Did you know? UK VAT rate for frozen food vs. ice cream
- Accountancy Matters Claims £150,000 VAT Rebate For Private Members Clubs
- Brexit: As of Jan 1, 2022, the complete customs declaration will be required
- Consultation outcome – Call for Evidence: Simplifying the VAT Land Exemption
- Could you identify VAT fraud across your supply chain and what are the risks if you don’t?
- Don’t get caught out! – VAT on residential conversions
- Exploring potential VAT challenges posed by the sharing economy
- Extension of Making Tax Digital to all UK VAT registered businesses from April 2022
- Form: Authorise an agent to form or amend a VAT group
- HMRC Collection: Customs, VAT and Excise UK transition legislation from 1 January 2021
- HMRC Guidance: Tell HMRC about an underpayment of Customs Duty or import VAT
- Key steps to prepare for the UK’s new Plastic Packaging Tax
- News story: Less than a month until full customs controls are introduced
- Overpaid VAT on Imports? – HMRC Reclaim Process
- Place of Supply of Consulting Services – Mandarin Consulting VAT case
- Roof panels are not insulation. The Greenspace case
- Simplifying the VAT land exemption: Summary of responses
- Simplifying VAT on land and property
- Sunak planning VAT cut for households and thousands of small businesses using green energy
- The importance of “belonging”. The Mandarin Consulting case
- Trial for using the Secure Data Exchange Service system (SDES) on VAT refund claims has ended
- UK continues to explore VAT split payments on foreign e-commerce
- UK explores VAT split payments by payment service providers on ecommerce trade by non-resident sellers
- UK’s Plastic Packaging Tax from April 1, 2022: VAT due on whole price charged for the goods (incl. PPT)
- VAT repayments: are business owners receiving everything they are entitled to?
- VAT: MTD Mandatory From March 2022
AFRICA
- Ghana Revenue Authority has recently issued three Practice Notes
- MOROCCO
- Moroccan Government to Restitute VAT For Businesses
- Backdating of alternative methods of apportionment
- Customs documentation and registration required for exports
- Intermediaries – Funeral policies
- Rulings on electronic services issued under the 2014 Regulations
- Supply of a going concern
- Tax invoices – Company name changes
- Update on measures that aim to facilitate trade, including AEO program and RLA system
AMERICAS
- ‘15 Percent Vat Was Not Considered’
- Davis: Minis was considering raising VAT by 15%
- Govt criticizing opposition for continuing to push for the 0% VAT
- Canada 5% GST non-resident digital services (already per 1 July 2021)
- Canada British Columbia B2C digital services PST
- Costa Rica VAT on foreign digital services
- Crypto Assets treated as Intangible Assets subject to VAT
- Two new categories of temporary importation for vessels
- FEL invoice regime extended to healthcare and social assistance sectors
- Regularization of tax obligations through payments on behalf of third parties
- SAT restricts certain exporters from using simplified declaration of goods
- SAT Publishes the New Version of the Electronic Invoice in Mexico CFDI 4.0
- VAT revenue registered its highest growth in seven years
- E-Invoicing Law – Mandatory issuance of e-invoices as of Jan 1, 2022
- Panama Adopts E-Invoicing System for Taxpayers
- Panama Publishes Laws Introducing New E-Invoicing Requirements and Further Extension of Tax Amnesty and Payment Relief
- 2022 Trends: what’s to come for e-commerce and sales tax
- A Global Perspective on U.S. State Sales Tax Systems as a Revenue Source: Inefficient, Ineffective, and Obsolete
- Are states getting rid of transaction thresholds?
- Arizona Business Owner Complains Louisiana Sales Tax is Unconstitutional for Out-of-State Sellers
- Bundled Hardware and Software Subscription Subject to Service Occupation Tax in Illinois
- California: Marketplace Facilitators Must Register, Collect and Remit Specified Fees
- Iowa Provides Clarification on Exemption for Solar Energy Equipment
- Massachusetts DOR Proposes Regulation on New Accelerated Sales Tax Remittance Requirements
- New York: Creating, Operating and Hosting Websites and Mobile Apps Deemed Not Taxable
- Sales Taxes In 2022 — Issues To Watch For Online Retailers
ASIA-PACIFIC
- Azerbaijan expands list of goods not covered by VAT refund
- Azerbaijan may exempt import of books and paper from VAT
- A2ZTaxCorp’s Weekly GST Communique dated November 29, 2021
- Burning issues in GST Input Tax Credit (ITC)
- Delhi govt likely to slash VAT on fuel prices today
- GST Compliance Calendar for the month of December 2021
- India GST reform proposal near completion
- Minister calls for exempting educational services from GST
- No GST Exemption to Mahindra Splendour CHS If monthly Contribution exceeds Rs. 7,500 per month
- No service tax on commission received for recruiting students to foreign universities
- Predeposit – Mode Of Payment Quagmire
- Various functionalities made available for Taxpayers on GST Portal
- Businesses can receive e-invoices from govt agencies on InvoiceNow network
- COVID-19: Extension of the scope of sectors eligible for the import tax exemption and faster VAT refunds
- Indonesia adds to digital service provider VAT list
- 2% withholding sales tax on marketplaces’ third-party sales
- Pakistan to Increase Tax on Mobile Phones as Part of IMF Deal
MIDDLE EAST
- NBR releases updated manual on change of VAT return filing frequency
- Rules on the date of supply under the Bahrain VAT Law
