An estimated 27,040 UK small companies selling goods online across the European Union could face an annual £772m VAT compliance bill after Brexit. In a survey of 989 small e-retailers, VAT technology firm, Avalara, estimated the cost per company of new EU VAT registration and returns obligations at €28,568 p.a. for each business. Micro-businesses lose …
Bulgaria, which holds the Presidency of the Council of the EU for the first half of 2018, has issued its priorities for indirect tax. These include: Completing the Norwegian agreement on administrative cooperation on VAT Agreement on the four simplifications for cross border supplies of goods, including the establishment of the Certified Taxable Person process …
The 2017 Budget has been approved by Parliament. This included a number of VAT changes applicable from 1 January 2017. These included: Introduction of VAT deferment (via reverse charge) on import VAT for a range of goods (Sept 2017) Reclassification to the reduced 13% VAT rate of some basic foods A proposal to apply the …
The 2017 Zambian Budget includes a range of VAT changes for implementation from January. Withdrawal of the VAT Group regime Scraping of right to reclaim pre-registration input VAT incurred up to 3 months before registration Requirement to use Electronic Fiscal Devices, which apply real-time VAT calculations and records for government audit Loss on input VAT …
The 2017 Budget includes a number of proposed changes to the Zambian VAT rules. These include: Abolishment of the group VAT scheme Restrictions on the right to deduct input VAT on certain pre-registrations costs Introduction on new online filings process Reduction in the right to deduct input VAT on certain mobile phones, media equipment, fuels …
Estonia is raising its VAT registration threshold for resident businesses from €16,000 to €25,000 per annum. The change in threshold will cost the country around €2.5 million per annum, but will free many small businesses from the burden of VAT registrations and returns. It will also free staff at the tax administration to focus on …
When examining the indirect tax management environment facing multinational organisations, it becomes clear that there is significant challenge in maintaining compliance while attempting to handle the workload that comes with VAT (Figure 1). Figure I: Compliance and Efficiency are Top of Mind for Multinational Organisations Respondents to Aberdeen’s 2014 Excellence in Financial Management Survey were …
On 8th July 2015, Poland’s government announced plans to cut the standard Polish VAT rate from 23% to 22% from 1 January 2016. The decision to bring forward the cut came about as Poland left the EU’s excessive budget deficit procedure recently. The cut will cost around €1.5 billion per annum. Polish economy recovering Poland has …
The latest Bangladeshi budget contains a range of changes to the compliance regime to help reduce the administrative burden for companies. The current Bangladeshi VAT rate is 15%. The compliance changes include: A limit of the levels of fines for VAT evasion now set to 50% of the value of the goods concerned. Previously there …
At the end of 2013, the Bolivian government provided basic guidance on the compliance rules for online retailers. Key guidance for e-retailers includes: All purchases must result in an electronic sales invoice which must be sent (e-mailed or through web browser) to the customer Prices listed on websites must be net of VAT (i.e. including …
