VAT news tagged as "Digital services"

Quebec

Canada Quebec B2C digital services sales tax

March 30th, 2018

Quebec is to become the first Canadian province to levy its consumption tax, Quebec Sales Tax (QST),  on non-resident providers of digital services to Quebec-resident consumers. This measure is targeting foreign digital services providers such as Netflix, Amazon Prime, Google Play, Apple Music and Skype. QST is currently levied at 9.975%. In September 2017, the Canadian federal government …


South Africa

South Africa updates e-services VAT

February 28th, 2018

South Africa has issued a draft update of the definition of digital services for VAT purposes. Since June 2014, non-resident providers of electronic services have been liable to register and charge South African VAT on B2C and B2B transactions. The latter is unusual – most countries do not require a registration for business-to-business supplies; instead …


Singapore

Singapore GST on digital services 2020

February 25th, 2018

Singapore confirmed in today’s 2018 budget that it will subject supplies of B2C digital services from non-resident suppliers to 7% GST. The new charge will apply to downloads of apps, software, games, music, videos and streaming versions of the same.  There will be an annual GST registration threshold of S$100,000. It is anticipated that only …


Turkey

Turkey digital services VAT update

February 7th, 2018

Turkey has provided an update on the VAT rules for non-resident providers of digital services to local consumers. VAT was imposed on such transactions from 1 January 2018. Key clarifications include: Details of the new online VAT registration process There are no specific requirements for the maintenance of VAT records Supplies to Turkish VAT registered …


Thailand

Thailand foreign digital services VAT proposal

January 28th, 2018

Thailand has updated its proposals to levy VAT on non-resident providers of electronic services to its consumers. The new draft rules will limit any tax liability to VAT, and has removed the potential for corporate income and withholding taxes on foreign providers. Highlights of the proposals include: A VAT registration obligation for non-resident providers of services via …


Turkey

Turkey VAT on foreign B2C digital services

December 30th, 2017

Turkey is to require non-resident providers of digital services to VAT register and charge tax on sales to local consumers from 1 January 2018. The new law was published by the Revenue Administration in General Communique No 17 to the VAT Law. It covers the following matters: Definition of digital services VAT return requirements – …


Russian Federation

Russia imposes VAT on B2B foreign digital services

December 29th, 2017

From 1 January 2019, Russia will require non-resident providers of digital services to businesses to VAT register in Russia and charge VAT. Russia introduced VAT liabilities on offshore providers of electronic services to consumers in January 2017. For B2B transactions, the reverse charge was applied and the Russian taxpayer was responsible for reporting the VAT with …


Saudi Arabia

Saudi Arabia digital services VAT 2018

December 17th, 2017

The Saudi Arabian tax office, GAZT, has confirmed that the supply of digital services by non-resident providers to consumers will be subject to the new VAT regime from 1 January 2018.  This will require foreign providers of digital services to VAT register if they are over the VAT registration threshold of SR1,000,000.  However, if the …


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; …