Council Directive (EU) 2025/516 of 11 March 2025 amending Directive 2006/112/EC as regards VAT rules for the digital age published in the Official Journal of the EU.
- The Council Directive (EU) 2025/516 amends Directive 2006/112/EC to modernize VAT rules in response to the digital economy, aiming to improve tax collection on cross-border transactions and reduce the administrative burden for businesses by implementing unified digital reporting requirements.
- The directive establishes a deemed-supplier model for platforms facilitating short-term accommodation and passenger transport services, requiring them to charge VAT in situations where underlying suppliers do not, while also ensuring the definition of “electronic invoice” aligns with European standards for better interoperability.
- To enhance compliance and combat VAT fraud, the directive eliminates the need for recapitulative statements for intra-Community transactions, mandates timely reporting of invoice data, and introduces a phased-out end date for existing call-off stock arrangements, promoting a streamlined VAT system across the EU.
Source eur-lex.europa.eu
See also
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