Internet consultation on new VAT rules for platform economy
- The Ministry of Finance has initiated an internet consultation on the draft proposal for implementing the VAT Directive in the Digital Age, specifically targeting the Platform Economy Act, with responses accepted until November 3, 2025.
- Effective July 1, 2028, digital platforms facilitating short-term rentals and passenger transport will be required to pay VAT on their services, along with a mandate to maintain proper records.
- The proposal outlines four key measures: the introduction of a new platform fiction, a KOR exception, revised place of service rules for facilitation services, and a redefinition of short-term rental services (capped at a maximum of 30 nights).
Source Taxlive
Dutch Government Proposes VAT Obligation for Digital Platforms Starting July 2028
- Digital platforms for accommodation rental and passenger transport will be subject to VAT from July 1, 2028.
- The measure aims to address competition issues between small and large service providers.
- Platforms must ensure VAT compliance unless the provider does so independently.
- Passenger transport platforms mainly face administrative obligations.
- Public consultation on the proposal is open until November 3, 2025.
Source: fiscaalvanmorgen.nl
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