VAT News

South Sudan

South Sudan Sales Tax rise

December 14th, 2017

South Sudan has proposed raising its Sales Tax levy from 18% to 20%. Sales Tax applies to domestically produced goods, hotel and accommodation services and imports. It was raised from 15% to 18% earlier in 2017.


Iceland

Iceland considers Occupancy Tax over VAT

December 12th, 2017

The new Icelandic government has scrapped plans to introduce VAT on short-term room and house rentals. Instead, it will review an Occupancy Tax – similar to the nightly fees imposed by many EU cities such as Paris, Brussels and Rome. It is not yet clear if the new levy will be a fixed, per night …


Israel

Israel scraps VAT on Bitcoin

December 10th, 2017

Israel is considering becoming the latest country to exempt sales of bitcoin and other cryptocurrencies from VAT.  Instead, profits from dealing in the digital currencies will be liable to Capital Gains Tax or Corporate Income Tax. Israel has until now categorised digital currencies as a financial asset, and not a currency, thus making trading liable to indirect …


Argentina

Argentina taxes foreign digital services 2018

December 8th, 2017

The Argentine Congress is to review a Bill levying VAT on consumers of digital services provided by non-resident providers. Digital services include: downloads or streaming media and games; software provided over the cloud; e-books; web-hosting; and aps. The place of taxation will be determined to be Argentina based on: IP address; SIM card for mobiles; …


Finland

Finland import VAT deferment 2018

December 7th, 2017

Importers of goods from outside of the EU into Finland will benefit a import VAT deferment from 1 January 2018. Importers with a Finnish VAT number will no longer be required to pay the import VAT on clearing the goods. Instead, they can wait to self-assess the VAT via their periodic VAT return.  The reforms …


Latvia

Latvia cuts VAT registration threshold

December 6th, 2017

Latvia is to introduce a number of changes to its VAT compliance regime from 1 January 2018. These include: Introducing the domestic reverse charge, to combat VAT fraud, on constructions services, precious metals, certain consumer electronic appliances and sales of games consoles Reduction in the annual VAT registration threshold from €50,000 to €40,000


Europe

EU ministers agree VAT e-commerce reforms

December 5th, 2017

At today’s meeting of EU Finance Ministers (ECOFIN) agreement was reached on a serious of e-commerce VAT reforms.  The proposals are aimed at facilitating the collection of VAT when consumers buy goods and services online. In addition, they will help combat an estimated €5billion in distance selling VAT fraud. The reforms include: 2019 – simplifications for sales …


Worldwide

2018 Weaponising VAT

December 4th, 2017

Brexit. VAT fraud. Austerity straitjackets. Global tax wars. These are the colliding dynamics which in 2018 will lead to the UK, and worldwide governments, to undertake drastic measures on VAT and other taxes. This could include an emergency measure to relieve importers/exporters of potential Brexit VAT liabilities, through to the European Commission up-ending the entire …