India

India GST one year on

August 20th, 2018

It is now one year since the overhaul of India’s complex and overlapping indirect tax regime, and the introduction of a Goods and Services Tax (GST). The new unified indirect tax was designed to simplify compliance, and end large-scale double and compounding tax for business which was stifling the manufacturing sector. Good start; more progress …


Japan

Japan on track for 10% Consumption Tax 2019

August 13th, 2018

Japan’s latest growth rates mean the planned rise in its Consumption Tax from 8% to 10% in October 2019 will still go ahead. The rise had previously been delayed twice because of stagnant growth. The indirect tax was originally raised from 5% to 8% in 2014 to help fund the spiralling social costs of an ageing …


South Korea

South Korea extends VAT to foreign cloud computing

August 5th, 2018

The Republic of Korea (South Korea) has extended the scope of VAT to non-resident B2C providers of cloud computer services. This new liability will come into force on 1 July 2019. South Korea made non-resident providers of streaming media, video, music, games etc. liable to VAT in July 2015. This mirrored changes in Japan and …


Malaysia

Malaysia launches Sales and Service Tax Sep 2018

August 2nd, 2018

Malaysia has tabled at Parliament the implementation bill for its Sales and Service Tax (SST), which comes into force on 1 September 2018. It is replacing the 6% Goods and Services Tax, suspended on 1 June 2018. The switch is expected to cost the country an estimated at RM25 billion in lost revenues as only …


India

India cuts e-book VAT to 5%

July 28th, 2018

On 21 July, India’s Central Board of Indirect Taxes & Customs approved a reclassification of the e-books VAT from the standard rate to 18% to the lower rate of 5%. One condition for the application of the lower rate is that a paper-version of the publication must also be available.


Worldwide

VAT Reporting v18.7.1

July 27th, 2018

Overview This release is a maintenance release of the VAT Reporting application for the month of July. It includes changes in reporting documents, SII improvements, modifications in VAT Reporting and bug fixes. Rate changes GREZ regions – Leros, Lesbos, Kos, Samos and Chios: The reduction in the three rates for the Greek Islands have been extended until …


India

India cuts GST on range of goods

July 25th, 2018

On 27 July 2018, the Indian Modi government will re-categorise from 28% to 18% the Goods & Services Tax (GST) rates applicable to a range of over 80 goods. The government faces nationwide parliamentary elections next year, and is seeking to assuage a range of consumers and businesses which lost out in the July 2017 …


India

India GST returns simplifications 2019

July 15th, 2018

India is planning to introduce a single Goods and Services Tax return at the start of 2019. This will bring to close the difficult, but momentous introductory phase of the new GST tax, which replaced in July 2017 a plethora of complex and double taxing indirect levies, including VAT, CENVAT, Service Tax and over twenty other charges. …


China

China VAT cuts boost exports to US despite tariff wars

July 12th, 2018

China’s lowering of VAT in May on aluminium exports to the US and rest of the world has helped contribute to a 37% growth sales (source: Chinese Customs, June 2018). This comes despite the US imposing heavy tariffs on aluminium in March, and a spiralling trade war with China and the European Union. Since May …


Singapore

Singapore digital GST changes

July 11th, 2018

Singapore is to consider a range of changes to its Goods and Services Tax regime. These include a consultation on the following: Imposition of GST on B2B imported services from 2020, with the customer recording the transaction via the reverse charge. For unregistered businesses, this could trigger the obligation to GST register if the level …