- The Fiscalis Workshop in Madrid gathered EU Member States, VAT experts, and platform economy representatives to discuss VAT reforms, focusing on the deemed supplier model (DSM) for online platforms.
- Key topics included the application of the DSM, platforms’ VAT compliance duties, overlaps with Article 28 and TOMS, SME exemptions, taxation of facilitation fees, and the timing of implementing regulations.
- Participants highlighted the need for clear, practical guidance to avoid double taxation, competitive distortions, and administrative burdens, especially for smaller operators.
- Policy debates centered on whether the DSM should be optional, how to treat complex transactions, and the importance of transparency and uniform interpretation across Member States.
- The European Commission will draft explanatory notes by early 2026, incorporating feedback from the workshop and further consultations.
Source: vatcalc.com
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.
Latest Posts in "European Union"
- Briefing Document & Podcast: VAT in the Digital Age (ViDA) – Single EU VAT Registration
- Briefing Document & Podcast: VAT in the Digital Age (ViDA) – Platform Economy
- VAT Committee – General Principle for Calculating Annual Turnover under the SME Scheme
- ECJ VAT T-680/25 (Mercedes Benz) – Questions – Should a free-of-charge provision of moulds be treated as a supply of services?
- Briefing Document & Podcast: VAT in the Digital Age (ViDA) – Digital Reporting Requirements
