- The European Commission proposed extending the optional reverse charge mechanism and the rapid response mechanism against VAT fraud until 30 June 2030.
- The measures are intended to help Member States combat VAT carousel fraud and similar fraud schemes until ViDA digital reporting rules take effect.
- The optional reverse charge lets VAT liability shift from supplier to customer in pre-identified high-fraud sectors.
- The rapid response mechanism allows Member States, under strict conditions, to quickly apply reverse charge in other sectors when sudden large-scale fraud occurs.
- The proposal would prolong both tools by four years beyond their current scheduled expiry on 30 June 2026.
Source: nlfiscaal.nl
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.
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