VAT in the Digital Era (ViDA): Three Key New Measures for Businesses

• The European Commission welcomes the general approach announced by the Council regarding the proposals for VAT in the digital era
• The new measures aim to make the EU VAT system more business-friendly and resilient to fraud
• The new rules address challenges arising from the development of the platform economy and promote competition equality between online and traditional short-term accommodation and transport services
• The package introduces three measures: real-time digital reporting based on e-invoicing for cross-border transactions, responsibility for VAT collection and payment by platform economy entities, and a single VAT registration for businesses
• The Executive Vice-President for an Economy in the Service of People, Valdis Dombrovskis, emphasizes the progress in updating VAT rules to align with the digital reality and simplify the tax landscape
• The Commissioner for Economy, Paolo Gentiloni, highlights the agreement’s benefits in facilitating taxpayers’ lives, combating fraud, and promoting fair competition, with measures to reduce administrative burdens for European businesses, especially SMEs.

Source: taxheaven.gr

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

---

---