VAT News


Latvia cuts VAT registration threshold

August 20th, 2017

Latvia’s parliament has ratified proposals to raise the annual Value Added Tax registration threshold from €50,000 to €40,000 per annum. The new level above which it is compulsory to register the supply of taxable goods or services will apply from 1 January 2018.

Costa Rica

Costa Rica VAT rise to 15%

August 20th, 2017

The government of Costa Rica has put forward a proposal for an increase in VAT from 13% to 15%. The tax rise is part of a package of changes presented to parliament last week.  It included expansion of the corporate income tax net to global income.


Switzerland votes on VAT rise

August 19th, 2017

Switzerland is to vote on September 24 whether to raise its VAT rate from 8% to 8.6%. A poll this week has put the in-favour vote at 53% of the electorate.  The rise is designed to help fund pension fund reforms. The VAT increase would fund a compensation payment to retiring workers who will …

United Kingdom

Brexit: will UK leave the EU VAT regime?

August 18th, 2017

When the UK leaves the European Union, will it exit the EU VAT regime? Perhaps not. Sometime around March 2019, the UK is scheduled to exit the EU.  This includes the UK no longer being part of the EU VAT system.  This will mean fundamental changes to the VAT and customers reporting and cash-flows on trade …

Puerto Rico

Puerto Rico e-services VAT

August 16th, 2017

Puerto Rico is considering introducing 15% VAT on the provision of electronic services, including streaming/downloads of games, music etc, e-books, online software, apps and member websites.  This would include foreign providers of such services, including iTunes, Google Play, Netflix, HBO and Spotify. Puerto Rico has struggled to manage its state deficit, and has attempted to replace …

United Arab Emirates

UAE VAT laws available Sept 2017

August 15th, 2017

The United Arab Emirates (UAE) Federal Tax Authority plans to issue the 2018 UAE VAT laws and excise laws by the end of September 2017. The implementation date for 5% VAT is 1 January 2018. It is estimated that over 350,000 businesses will have to VAT register in the UAE.  There is a VAT registration …


How does cross-border taxation impact luxury retailers?

August 14th, 2017

The advent of eCommerce has made goods more accessible and, combined with cheaper, quicker shipping options, more luxury brands are shipping cross-border than ever before. Regardless of the product, the appeal of reaching international markets is a temptation most retailers can’t ignore. But in the rush to expand, many retailers often don’t understand the VAT, …


Kuwait approves VAT and excise draft laws

August 12th, 2017

Kuwait has accepted this week draft implementation laws from the Gulf Cooperation Council (GCC) for new VAT and excise taxes. Kuwait is one of the six member states of the GCC, all of which are planning to introduce 5% VAT over the next year.  Only Saudi Arabia and the UAE are likely to launch on 1 Jan 2018. …