Changes to VAT: Payment service providers will report on cross-border payments
The new rules aimed at tightening the system of taxation of cross-border trade over the Internet will soon apply to payment service providers.
Amendment of the VAT Directive
The Ministry of Finance has published a draft act amending the act on tax on goods and services and the act on the National Revenue Administration aimed at implementing Council Directive (EU) 2020/284 (amendment to the VAT Directive) introducing an additional reporting obligation for payment service providers. As in the case of the changes resulting from the DAC7 Directive, the new reporting obligation will directly affect only a specific group of entities – in this case, these will be payment service providers.. However, due to the fact that the subject of new reporting by payment service providers will be specific payments assessed from the perspective of recipients of these payments (potential sellers), this group of entities should also be aware of the new regulations and assess their impact on the business.
Source Deloitte
