- AI‑operated “zero‑person companies” challenge traditional VAT concepts, especially when determining where a business is established and which jurisdiction has taxing rights.
- EU VAT rules can still apply, but they rely on identifying a human anchor — such as a director or founder — to attribute legal responsibility and place of establishment.
- Cloud infrastructure and autonomous agents alone are unlikely to create a fixed establishment, raising enforcement and compliance tensions for tax authorities.
Source Bloombergtax
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