September 2023 – VAT rate changes/updates/news

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ARGENTINA

• Argentina announces Tax Relief for Freelancers and SMEs

AUSTRALIA

• Federal Court Determines Frozen Food Products as Taxable Prepared Meals Subject to GST
• Are you charging GST correctly on food and breakfast products?
• ATO: GST and supplies by charities – benchmark market values

BAHAMAS

• Bahamas Prime Minister Removes VAT and Duty Rates from Foreign Boat Registration

BAHRAIN

• Proposal seeks to Exempt Low-Income Citizens from Taxes

BARBADOS

• Continued lower VAT rate on electricity under review

BELARUS/ RUSSIA

• Russia Plans to Zero VAT for Tour Operators, Selling Tours to Belarus

BOSNIA AND HERZEGOVINA

• Law on the Abolition of VAT on donated Food to be discussed Tomorrow

BRAZIL

• VAT Reform Imminent in Brazil: What to Expect for Tax and E-Invoicing

CHINA

• Beijing extends tax cut on used-vehicle sales for four more years

CYPRUS

• Temporary Zero Rate on Basic Items Extended until April 30, 2024
• Cypriot government extends VAT rate cuts on essential goods until April 2024
• The Impact of Zero VAT in Cyprus: Price Hikes and Government’s Decision to Extend
• Cypriot Government Extends VAT Rate Cuts on Essential Goods
• Temporary Reduction of VAT Rates (0%) on Specific Products
• Zero VAT in Cyprus fails to prevent price hikes for many products
• Imposition of a zero VAT rate on essential items as of November 1, 2023
• Cyprus Extends Temporary Zero VAT Rate for Basic Goods
• Cyprus Extends VAT Cut on Essentials till 30 Apr 2024
• Zero VAT Rate Extended for another Six Months
• VAT Reduction Policy ‘Very Successful’ says State
• Cyprus to Extend zero VAT Rate
• Zero VAT on sugar is nothing more than a publicity stunt
• Cyprus Coffee and Sugar added to Zero VAT Products

CYPRUS/PORTUGAL

• Portugal and Cyprus – Extension of the zero VAT rate on essential goods

CZECH REPUBLIC

• Czech Republic Government Consolidation Package: VAT Amendments and Restrictions on Car Deductions

ECUADOR

• Ecuador’s Official Gazette Publishes Resolution on VAT Withholding Rates for Specific Entities

ESTONIA

• Estonia Parliament Considers Proposals to Reduce VAT Rates on Food, Medicines, and Publications
• Estonian retail chains are advised to adjust prices ahead of the VAT increase in 2024
• Estonia Considers Lowering VAT Rates for Food and Medicines
• Consideration of lowering VAT rates for food and medicines
• VAT in Estonia – change in VAT rates in 2024-2025
• Estonian Parliament Dumps Center’s Bill to Lower VAT on Food

EUROPE

• VAT cuts as Europe Food Inflation Eases to 11.6% September 2023
• VAT Cuts as Europe Food Inflation eases to 9.8% August 2023
• The Differences in VAT Rates Across Europe

EUROPEAN UNION

• Comparing VAT Rates on Heat Pumps in European Union: A New Report
• Dance classes in some EU countries are subject to different VAT rates
• Comments on ECJ C-433/22: AG CJEU concludes on application of reduced VAT rate for home renovation
• ECJ C-433/22 (HPA – Construções) – AG Opinion – Reduced VAT for renovating and repairing private dwellings which are used as private dwellings

FINLAND

• VAT rate applicable to electric car charging in Finland

FRANCE

• New Caledonia: Government Applies 3% Reduced Consumption Tax Rate to Photovoltaic Energy Storage Batteries and Solar Water Heaters Sector
• France Senate Considers Bill to Apply Reduced VAT Rate on Reusable Construction Materials

GERMANY

• Extension of Non-Objection Rule for VAT Rate on Wood Chip Deliveries in Germany
• Germany: Reduced VAT in the hospitality industry and no end in sight
• Premature End of VAT Reduction for Gas Deliveries: Pros and Cons
• Update: Permanently reduced sales tax in the catering industry failed (for the time being?)
• Rejection of the extension of reduced tax rate in gastronomy by the Bundestag (Germany)
• Germany brings forward 3 months ending of energy 7% VAT rate
• German parliament reviews 2024 VAT reforms

GHANA

• Support the Bill aimed at Eliminating Tax on Sanitary Pads – Madina MP
• Bill Proposing to Remove 15% VAT on Menstrual Hygiene Products Introduced to Parliament

GREECE

• Decisions on reduced VAT rates in the final Budget plan for Greece
• Greece Increases VAT on Multiple Home Sharers to Level the Playing Field with Hotels
• New VAT rules for short-term real estate leasing
• Donation VAT to deal with natural disasters from August fires as well as the recent Daniel week’s bad weather that hit the Thessalian plain

INDIA

• All India Gaming Federation Writes to Finance Ministry to Suspend GST Notification on Online Gaming: Sources
• The Impact of GST Levy on Online Gaming in India: A Controversial Decision
• Review of GST on online gaming, casinos likely next fiscal
• Changes Notified: No IGST on Ocean Freight in CIF Contracts
• Ready to levy 28% GST on online gaming, casinos, horse racing from Oct 1: CBIC chief
• India Imposes GST on Online Gaming
• 80 Online Gaming Companies Likely to Face GST Evasion Notice for ₹10,000-12,000 Crore
• Ice cream topping crackle likely to attract 18 per cent GST on AAR ruling
• GST Impact; Gameskraft discontinues fantasy platform
• Madhya Pradesh cabinet to approve Ordinance to levy 28% GST on deposits of online gaming & casinos
• Marketing and support services provided in India on direction of the foreign Company is export of service
• Madhya Pradesh cabinet to approve Ordinance to levy 28% GST on deposits of online gaming & casinos
• No Proposal on Imposition of Additional 10% GST on Diesel Vehicle Currently under Consideration by Govt: Union Minister Nitin Gadkari in…
• Herbal Body Oil for soft, smooth, glowing & healthy skin attracts GST @ 28%
• Karnataka cabinet defers draft ordinance on 28% GST on real-money gaming

INDONESIA

• VAT Rate Next Year Remains at 11%
• Indonesia VAT from 11% to 12% 2025

IRELAND

• Ireland Raises VAT Rate on Hospitality, Hotels, and Tourism Services to 13.5%
• Re-instatement of Ireland’s Tourism VAT Rate to 13.5% from September 2023
• Ireland Confirms Reduced VAT Rate Applies for Various Supplies from 1 September 2023

ITALY

• Italy Extends VAT Relief For Gas Supplies
• Italy Extends Gas VAT Cut to 5% until 31 Dec 2023
• Italy Extends Super-Reduced VAT Rate on Natural Gas Supplies Through December 2023
• Extension for 2023 of the VAT rate for methane gas and definition of violations.
• From VAT to Incentives on First Homes. This is what the Energy Decree Provides
• VAT rate of 5% wide for social cooperatives
• Review of VAT rates based on social significance

KAZAKHSTAN

• Kazakhstan considers increasing VAT rate
• Kazakhstan Considering Increase in Standard VAT Rate to 16%
• Kazakhstan VAT rise to 16% 2025
• VAT Rate may be Increased in Kazakhstan in 2025

KENYA

• Kenyans Face Higher Taxes as Treasury Proposes 18% VAT Increase
• Kenya Kwanza has Broken Tax, Borrowing Promises
• Kenya’s National Treasury Proposes Increase in VAT and Excise Duty on Alcohol and Cigarettes
• Kenya’s Proposed Pain Through Taxes
• Treasury proposes to raise VAT to 18%
• VAT rise to 18% proposal 2024
• Treasury now Proposes to Raise VAT to 18 per Cent
• Kenya Supreme Court upholds Ruling that Favours 2023 Finance Law

LATVIA

• Latvian Government Criticized for Scrapping 5% VAT Rate on Fruits and Vegetables
• Abolishing Reduced VAT on Local Produce: A Boost to Shadow Economy, a Blow to Farmers
• Abolishment of VAT Reduction on Local Produce in Latvia Expected Next Year
• Saeima discusses VAT reduction for Latvia’s catering companies

LEBANON

• Lebanon Planning to Increase VAT Rate to 15%
• Government Proposes to Raise VAT Rate from 11% to 15%
• Lebanon VAT rise to 15%
• Government Proposes to Raise VAT Rate from 11% to 15%

LITHUANIA

• Lithuania Presents List of Acceptable Evidence for 0% VAT Rate Application
• There will be no Reduced VAT for Restaurants and Cafes

MACEDONIA

• North Macedonia does not repeal 5% preferential VAT rate for pellets, pellet stoves, and pellet kettles
• Amendments to North Macedonia’s VAT Law: Changes to Rates and Introduction of Tax Agent Concept
• North Macedonia Tax Agency Introduces Amendments to VAT Law, Including Changes to Rates and Regulations

MOLDOVA

• Moldova Extends Reduced VAT Rate for Hospitality Sector Until December 2023
• Moldova Further Extends Application of Reduced VAT Rate for Hotel and Restaurant Services
• Moldova Introducing Various Tax Amendments in 2024
• SFS informs about the entry into force of the changes to the VAT and excise department for “duty-free” shops

NETHERLANDS

• Dutch Court Rules on Different VAT Rates for Medicines and Medical Devices
• Exploration of Transfer Tax Exemptions
• Decision on zero VAT rate on fruit and vegetables to the next cabinet
• Medical Device Against Skin Problems taxed with 21% VAT
• Other VAT proposals Prinsjesdag 2023
• Temporary furnished rental apartments after major office building renovation – 9% VAT
• Medical device for skin problems subject to 21% VAT in the Netherlands
• Tax Plan 2024: The VAT and Transfer Tax Measures
• Tax Plan 2024: Changes to VAT and Real Estate Transfer Tax in the Netherlands
• Tax plan addresses global minimum tax challenges for 2024
• Reduced VAT rate partly effective but not efficient
• Cabinet Leaves next Steps after Evaluation of Reduced VAT Rate to next Cabinet
• No Decision yet on Zero VAT Rate for Fruit and Vegetables
• Direct and Indirect Tax Measures in 2024 Tax Plan
• Tax Plan 2024: What is Important to you as an Entrepreneur?
• Cabinet will leave follow-up steps after evaluating the reduced VAT rate to the next cabinet
• Tax Plan Bill 2024
• 2024 Tax Plan – a preview
• Dutch Supreme Court Holds Pharmaceutical Products Other Than Registered Medicinal Products do Not Qualify for Reduced VAT Rate
• Document published on VAT Rate Management Fee Holiday Parks
• High VAT Rate for Skin Care Cream
• No reduced VAT rate for pharmaceutical products that are traded as medical devices
• Pharmaceutical products are not subject to the reduced rate
• No reduced VAT rate for medical devices for skin conditions and skin irritations
• Magic truffles (Sclerotica) are not foodstuffs, so 21% VAT applies

NEW ZEALAND

• Removing GST from fruit and veg may not make them more affordable, warn NZ ministers
• Labour’s GST policy questioned as fiscal holes emerge in lead-up to 2023 election.
• A business lens on taking GST off fruit and vegetables

NIGERIA

• VAT on Diesel Suspended in Nigeria: Public and Stakeholders React to 6-Month Suspension
• Nigerian Government Temporarily Removes VAT on Diesel to Address Subsidy Removal Impact
• Nigerian Government Temporarily Exempts Diesel from VAT to Ease Transportation and Fuel Costs
• Tinubu Suspends VAT on Diesel for Six Months to Address Rising Costs
• Nigerian Government Temporarily Exempts Diesel from VAT to Ease Transportation and Fuel Costs
• Nigerian Government Temporarily Removes VAT on Diesel to Address Subsidy Removal Impact
• The Nigerian Government Announces Six-Month VAT Exemption on Diesel
• Nigeria needs 9% Tax-to-GDP Increase to Shore up Revenues -IMF

NORTH MACEDONIA

• VAT Law Amendments, including Changes to Rates and Tax Agent Concept

PAKISTAN

• Punjab modifies Sales Tax on Services Act 2012, changing descriptions, rates and more

PHILIPPINES

• VAT Zero-Rating for Registered Export Enterprises made Easy
• Amended VAT-Related Guidance for Certain Registered Business Enterprises
• VAT updates for RBEs under revised CREATE implementing regulations

POLAND

• Binding Information on VAT Rate for WIS TOWAR – Plant Protection Conditioner – CN 34
• Binding Tax Information on VAT Rate for WIS TOWAR – Meat Product Injection – CN 2106
• Binding Information on VAT Rate for Liquid Sauces in Sachets – CN 2103, 8% VAT
• Binding Rate Information for Construction of Sewage Connection
• Binding Rate Information (WIS) for Mascarpone with 0% VAT
• Binding Rate Information (WIS) for Unbuilt Land – 23% VAT
• Price Calculation Error vs. Incorrect VAT Rate
• Binding Information on VAT Rate for Children’s Book with Sound Panel – CN 4903 00 00
• Binding Rate Information (WIS) – 0% VAT for Tortilla – CN 19
• Can the Value of Donations be Determined on the Basis of the Applicable Net Sales Prices including VAT?
• Decision on VAT Rate for Residential Property – 8% VAT
• Request for VAT Rate Confirmation for WIS TOWAR – Calcium-based Product – 8% VAT
• Binding information on VAT rate for “dietary supplement” capsules – CN 2106 – 8% VAT
• Comprehensive Service – Goods – Book Publication with Online Access to Worksheets and Assistance
• Comprehensive Service for Multi-Family Residential Building with 8% VAT Rate in Poland
• Application for 0% VAT on Sandwich under CN 19 – September 20, 2023
• Tax Rate and Legal Basis for Fat Emulsion Sauce Additions in Poland
• Binding Rate Information for Accommodation Services in Premises at 8% VAT Rate
• Director’s Resolution: 0% VAT Rate for WIS TOWAR – White Borscht Soup
• September 21, 2023: Director’s Resolution on VAT Rate for WIS TOWAR Dietary Supplement
• Non-Alcoholic Drink with 0% VAT Rate: September 20, 2023
• Binding information on VAT rate for “dietary supplement” in powder form – CN 2106 – 8% VAT
• Binding Information on VAT Rate for Food Product with 0% Rate
• Binding Information on VAT Rate for Residential Building with Services on Ground Floor
• Binding Information on VAT Rate for Accommodation Services at 8%
• Ruling: WIS TOWAR – fertilizer – 8% VAT rate
• Ruling: WIS TOWAR – medical gloves – 8% VAT
• Ruling: WIS TOWAR – dietary supplement in the form of liquid – CN 2106 – 8% VAT
• Ruling: WIS TOWAR – cheese made from cow’s milk cream – CN 18 – 23% VAT
• Ruling: WIS TOWAR – drink (protein product) – 0% VAT rate
• Ruling: WIS TOWAR – dietary supplement in capsules – CN 2106 – 8% VAT
• From January 2024, will we Pay for Food with VAT? The Decision will be made After the Elections!
• Ruling: WIS TOWAR – cottage cheese – CN 04 – 0% VAT
• Ruling: WIS TOWAR – product intended for consumption after dilution with water – CN 2106 – 8% VAT
• Ruling: WIS TOWAR – soup – CN 2104 – 0% VAT rate
• Ruling: WIS SERVICE – entry to an additional attraction in the park – 8% VAT
• Ruling: VAT rate for comprehensive services involving the delivery and manufacture of upholstery panels
• Draft Decree Exempting certain Supplies of Goods and Services from Obligation to Issue Structured Invoices
• Ruling: WIS TOWAR – “fudge” confectionery product – CN 1704 – 23% VAT
• Ruling: WIS SERVICE – conducting recreational activities – 8% VAT rate
• The Great Tax Revolution of PiS to the Trash? There will be No VAT Reduction
• Ruling: WIS SERVICE – conducting recreational activities – 8% VAT rate
• Ruling: WIS SERVICE – comprehensive post-warranty service of medical products – 8% VAT rate
• Ruling: WIS TOWAR – vitamin powder – CN 29 – 23% VAT
• Ruling: WIS TOWAR – sushi set – CN 19 – 0% VAT
• Ruling: WIS TOWAR – fruit and vegetable mixture – CN 2106 – 8% VAT
• Ruling: WIS – horticultural soil – 8%
• Ruling: WIS – tattooing – PKWiU 2015 96/09 – 23%
• Ruling: WIS SERVICE – comprehensive post-warranty service of medical products – 8% VAT rate
• Ruling about non-alcoholic wine – CN 2202 – 0% VAT rate
• Ruling: WIS TOWAR – protective barrier apron – CN 62 – 23% VAT rate
• Ruling: WIS – internal electrical installation design – PKWiU 2015 71 – 23%
• Ruling: WIS – electrical and teletechnical design – PKWiU 2015 71 – 23%
• Ruling: WIS – re-invoicing water to the tenant – PKWiU 2015 36.00.20.0 – 8%
• Ruling: WIS – dessert – CN 2106 – 8%
• Ruling: WIS – cooking service – PKWiU 2015 56 – 8%
• Ruling: WIS – development of green areas – PKWiU 2015 81.30 – 8%
• Ruling: WIS – meatballs in sauce with rice – CN 16 – 0%
• Ruling: WIS TOWAR – ready-made plant dish – CN 2106 – 8% VAT
• Ruling: WIS – meal powder – CN 19 – 0%

PORTUGAL

• Portugal extends VAT rate cuts on essential food items until 2024
• Portugal Reduces VAT Rates on Certain Goods and Services in 2023
• Portugal Extends 0% VAT Rate for Essential Foods
• Extends 0% VAT Rate for Essential Foods
• Portugal to extend zero VAT rate on basic food until end 2023
• Portugal Extends VAT Holiday on “Essential” Food Products
• Portugal Food VAT Rate Cut – extended until 31 December 2023

ROMANIA

• The government removes excise duties from the turnover when calculating the tax and increases the VAT for concerts and shows to 9%
• Romania VAT Rise Risk
• Bad debts (relief for underpaid sales invoices), Triangulation
• Tax measures Imposed by Brussels: 19% VAT, Progressive Tax and 20% Income Tax

RUSSIA

• Amendments to the List of Non-Taxable VAT Operations in Russia
• Russia to Implement Zero VAT for Tour Operators Selling Tours to Belarus, Boosting Tourism
• Russia to Lower VAT Rate for Select Children’s Goods
• Spain to Maintain VAT Reduction on Food beyond June
• Russia Doubles VAT Rate on Sandwiches, Burgers, Cheeseburgers, Etc.
• Russia Raises VAT Rate for Fast Food Items
• Russia Proposes Zero VAT Rate for Certain Medical Equipment
• Codes of medical products for VAT benefits have been adjusted
• First Applications for Setting Zero VAT not Expected from Ship Repair Companies before January 2024
• Sales of hamburgers and sandwiches are subject to VAT at a rate of 20%

RWANDA

• Rwanda Provides Corporate Tax Cut and Other Tax Amendments

SAUDI ARABIA

• IMF: Saudi Economy Grows as it Diversifies

SINGAPORE

• Singapore Issues New Guidance on GST Rate Increase to 9% from Jan 2024
• Singapore GST rise to 9% Jan 2024 – new guidance
• Singapore Updates Guidance on Preparing for GST Rate Change

SLOVENIA

• Taxation of Solar Power Plants: Lower VAT Rate for Supply and Installation
• When is the installation of a fence taxed at a lower VAT rate?
• Slovenia Gazettes List of Equipment Related to Reduced VAT Rate

SOUTH AFRICA

• VAT Treatment Of Private Funding Received By Welfare Organizations
• South Africa Updates Guide for Tax Rates, Duties, and Levies

SPAIN

• New Spanish VAT for Cruise Drink Packages

SURINAME

• Tax Authority Outlines New Rates and Exemptions for Goods and Services Resulting from Recent Amendments to the VAT Act

SWITZERLAND

• Switzerland – abolition of import duties on industrial goods and VAT rate increase as of 01.01.2024
• Partial Revision of VAT Act: Key Changes in Switzerland’s Value Added Tax System
• Partial revision of the VAT Act (e-platforms, travel agencies, subsidies, trading in emissions, representation and reduced rates)
• VAT compliance changes from 1 January 2025

TANZANIA

• Finance Act: Exempting specific manufacturing inputs from VAT and zero-rating VAT on specific goods from July 1, 2023, until June 30, 2024

THAILAND

• Thailand Approves Extension of 7% VAT Rate to 2024
• Thailand Extends the Reduced Standard VAT Rate of 7% for Another Year
• Reduced 7% VAT rate extended to 30 September 2024
• Thailand Gazettes Decree Further Extending Reduced Standard VAT Rate
• Extension of Reduced VAT Rate Period to Support Imports and Sales
• Thailand Tax Agency Announces Cabinet Approval to Extend Reduced VAT Rate
• Royal Gazette announces the extension of the VAT rate of 7% for another year
• Royal Commission Extension of VAT Reduction for Another Year until 1 September 30
• Good news! Cabinet Extends VAT Reduction of 7% until 30 September 2024
• Cabinet Extends VAT 7% for Another Year to support Domestic Spending and Investment
• Thailand Extending 7% VAT Rate an Additional Year
• Cabinet Agrees to keep VAT at 7% for Another Year
• Cabinet to Extend VAT 7% for Another Year
• VAT rate may return to 10% per 30 September

TURKEY

• Turkish Government increases Fees and VAT rates for IP Services

UNITED ARAB EMIRATES

• How VAT is Calculated in the UAE and Dubai and who is Exempt from It
• UAE Logistics Businesses should Handle their 0% Rated Tax Status with Extreme Care
• Zero-Rating the Export of Goods
• 10 Essential Things to Know before Filing your VAT Returns

UNITED KINGDOM

• New Tourism Alliance Report Spotlights High Tax Rate on Tourists in UK
• Petition: Remove VAT and Other Taxes off all Baby and Child Safety Products
• VAT Zero-Rating for Medicines Supplied through Patient Group Directions – SI
• Extension of VAT zero-rating to medicines supplied through Patient Group Directions – Statutory Instrument
• VAT Zero-Rating for Medicines Supplied through Patient Group Directions – Statutory Instrument
• Efficiently Managing your VAT Liabilities to Improve Cashflow
• VAT on Food, Confectionery & Catering
• ICAEW Comments on the Future of Customs Declarations
• HMRC ‘One-to-Many’ Campaign – Fuel and Power Supplies
• Investment Zones and Freeports – Similarities and Differences

UNITED STATES

• US Sales Tax Rate Updates for October 2023
• Sitka Alaska Approves 2023 Sales Tax Free Days
• United States Sales Tax Rate Reduction for Food: Alabama Department of Revenue Announcement
• California Implements New Gun Carry Laws and Sales Taxes to Enhance Public Safety
• Alabama DOR Increases Sales Tax Rates for Town of Skyline Effective Oct. 1
• Louisiana: Livingston Parish creates “Pink Tax Exemption”
• Virginia October 2023 Sales Tax Holiday
• Does Idaho Charge Sales Tax on Services?
• Virginia’s sales tax holiday will be back in October
• Alabama drops sales tax on groceries to 3%

URUGUAY

• Uruguay Extends VAT Rate Reduction for Tourism Sector
• Uruguay extends 13% reduced tourism VAT to Apr 2024
• Uruguay Extends Final Date of VAT Reduction for Tourism Sector Until 30 April 2024
• Uruguay extends VAT rate-reduction period for tourism sector
• Uruguay Reinstates VAT and Excise Tax on Mineral and Sparkling Water

VIETNAM

• Voters propose tax exemption for electricity and household water consumption
• Today’s View: VAT Exemption – Incentives or Abuse?
• How to reduce VAT in the field of construction?
• Chairman of the Economic Committee: Continue to Reduce VAT to Stimulate Growth and Consumption

WORLD

• Global VAT Changes October 2023
• Global changes in the Indirect Tax landscape per October 1, 2023 – An Overview
• Tax Trends in European Countries – Consumption Taxes Reforms
• VAT Exempt and VAT Zero Rated – What’s the Difference?
• OECD: Countries Deploy Tax Policy to Shield Households and Businesses from Decade-High Inflation

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Previous issues

• August 2023 – VAT rate changes/updates/news

 

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