Reform of the VAT mechanism on margin of works of art

Directive 2022/542 of April 5, 2022 made it impossible to combine a reduced VAT rate on purchases with the application of a VAT mechanism on the margin made on resale. France, which until now allowed to apply a VAT rate of 5.5% on purchases and the VAT margin mechanism when reselling works of art, is obliged to comply with the European directive by 2025.

Source: easytax.co

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