The VAT Act amendment is in progress, with a government proposal expected in the Chamber of Deputies by mid-year. Most provisions will take effect on January 1, 2025. Planned changes include shortening the time limit for claiming deductions, new obligations for customers on unpaid liabilities, expanded possibilities for recovering VAT on bad debts, and an extension of the period for correcting the tax base. Additionally, there will be changes in VAT levied on employee payments and a narrowing of exempt financial activities to align with the European Directive.
Source BDO
