Rather than list the countries that have a Value Added Tax (VAT) system, it would be much easier to list the handful of countries that don’t. The brainchild of German industrialist, Dr. Wilhelm von Siemens back in 1918 – it has since become the prevalent form of indirect taxation in over 150 countries. His idea was that it was a very efficient tax, as charged at every stage of the supply chain using businesses to act as tax collectors. VAT was first implemented in 1954 by Maurice Lauré in France with a new tax called “Taxe sur la valeur ajoutée” which literally translates as “Tax on the value added”. The rest is history, as countries across the globe introduced a VAT system over the next several decades.
Source Avalara
