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EU set to adopt e-invoicing for VAT In a sweeping change to EU VAT rules, the European council has agreed to go ahead with electronic invoicing and real-time data reporting After two years of debate and negotiations, the European Council has reached an agreement on new measures that will overhaul and modernise the EU’s VAT rules. The key reforms will introduce a requirement for electronic invoices and real-time data reporting, and new rules on VAT liability for bookings for online accommodation rental and passenger transport services carried out through digital platforms, such as Airbnb and Uber. #VAT #EU #DataReporting #Tax #Budget #E-Invoicing #Invoices

EU set to adopt e-invoicing for VAT In a sweeping change to EU VAT rules, the European council has agreed to go ahead with electronic invoicing and real-time data reporting After two years of debate and negotiations, the European Council has reached an agreement on new measures that will overhaul and modernise the EU’s VAT rules. The key reforms will introduce a requirement for electronic invoices and real-time data reporting, and new rules on VAT liability for bookings for online accommodation rental and passenger transport services carried out through digital platforms, such as Airbnb and Uber. #VAT #EU #DataReporting #Tax #Budget #E-Invoicing #Invoices

VAT in the Digital Age On 8 May 2024, the European Commission published an updated draft of the ViDA package, which aims to amend EU VAT Rules in three areas: (i) VAT treatment of platform economy; (ii) Single VAT registration and compliance mechanism under the One Stop Shop scheme; (iii) Mandatory e-invoicing. Of particular importance, the draft recognizes that the platform economy has led to unjustified distortion of competition between supplies performed through online platforms that escape VAT, and supplies made in the traditional economy that are subject to VAT. As such, the proposal is to make the online platforms “deemed suppliers” in the short term accommodation rental and passenger transport sectors, and thereby change the role the platforms play in the collection of VAT. If the proposal is accepted, the online platforms will be required to charge VAT where the underlying suppliers do not account for VAT. The online platforms will, however, not be considered deemed suppliers where the underlying suppliers provide their VAT identification number and declare that they will account for VAT. ECOFIN will discuss the updated proposal on 14 May 2024. https://lnkd.in/ek42TwaG

EU- ViDA has now been approved by the European Council. The new rules will: - make VAT reporting obligations for cross-border transactions fully digital by 2030 - require online platforms to pay VAT on short-term accommodation and passenger transport services in most cases where individual service providers do not charge VAT - improve and expand online VAT one-stop-shops so that businesses do not have to go through costly registrations for VAT in every member state in which they do business

🚀 EU’s VAT Transformation in the Digital Age: The Path to ViDA Reform Approval After two years of intense negotiation, the EU's VAT in the Digital Age (ViDA) reform is nearing final approval! 🎉 With all 27 EU Member States finally in agreement, the ViDA package is set to transform the VAT system to keep pace with digital advancements across Europe. Key Milestones: -Timeline: Rollouts from 2027 to 2035, with key implementations in 2028 and mandatory measures by 2030. -Highlights: Simplified VAT registration, digital reporting, and new supplier rules for platforms hosting short-term rentals and ride-sharing. -Approval Hurdles: Prolonged disagreements on digital platform taxation, especially over short-term rentals, finally resolved with compromises on rental duration limits and phased implementation. ViDA marks a major step towards a modern, harmonized EU VAT framework tailored to the digital economy. Read the full analysis article here: https://lnkd.in/d7Zc6SEz #VAT #EUtax #ViDA #DigitalEconomy #TaxCompliance #Ecommerce

📢 𝐍𝐨 𝐚𝐠𝐫𝐞𝐞𝐦𝐞𝐧𝐭 𝐲𝐞𝐭, 𝐰𝐡𝐚𝐭'𝐬 𝐧𝐞𝐱𝐭? ViDA (VAT in the Digital Age) was not approved by the EU Finance Ministers on 14 May 2024 because one Member State did not support the deemed supplier rules proposed for platforms. An agreement will be reattempted at the next ECOFIN meeting of 21 June 2024. Businesses should prepare for major VAT changes after the adoption of the ViDA proposal. In this his article our expert Aiki dr. Kuldkepp, provides an overview of amended EU ViDA proposal. If adopted, it will mean the major overhaul of EU VAT system in coming years. For more information on how these changes could affect your business, check out the full article 👉 https://bit.ly/3xaMwLz #europeanunion #internationaltrade #vat #tax

EU’s ”VAT in the Digital Age” (ViDA) initiative was finally approved on 5th Nov 2024. ViDA brings new requirements for companies doing business in EU, attributable to three main areas: Digital reporting obligations (standardized e-invoicing), single VAT registration, and platform economy VAT impacts.

ViDA has now been approved by the European Council. The new rules will: - make VAT reporting obligations for cross-border transactions fully digital by 2030 - require online platforms to pay VAT on short-term accommodation and passenger transport services in most cases where individual service providers do not charge VAT - improve and expand online VAT one-stop-shops so that businesses do not have to go through costly registrations for VAT in every member state in which they do business https://lnkd.in/eP33bZJi

Exciting progress for EU VAT modernization! On 5 November 2024, ECOFIN reached a historic agreement on the 'VAT in the Digital Age' (ViDA) proposal, paving the way for streamlined digital VAT systems across the EU. With a focus on the platform economy, single VAT registration, and simplified reporting, this is a major step towards easing compliance for businesses. Explore the key changes and the timeline for implementation. #EU #VAT #DigitalTransformation #ViDA Read the full story: https://bitly.cx/Jxevz

Is it finally ViDA time? Update May 14: not yet! The European Commission recently released an updated draft of the “Value Added Tax (VAT) in the Digital Age (ViDA)” package 📑. If adopted, it would significantly amend EU VAT rules in three key areas: expanding VAT digital platform rules 🌐, expanding the single VAT registration and compliance mechanism under the One Stop Shop (OSS) 🛍️, and introducing a real-time digital reporting system based on electronic invoicing for cross-border businesses in the EU 💼. The Economic and Financial Affairs Council A(ECOFIN) on May 14, 2024 did not reach political agreement on the proposal as there is still disagreement on the expansion of the digital platform rules 📅. Next ECOFIN meeting in June may conclude the saga? If approved, the new digital platform and single VAT registration rules would enter into force on 1 July 2027 (1 January 2025 in the initial proposal), with certain technical provisions being effective already effective 1 January 2026. The e-invoicing and digital reporting rules would however only be effective 1 July 2030 (1 January 2028 in the initial proposal). 🗓️. Businesses operating in the EU should review their VAT footprint and ensure their systems can comply with the new requirements 🧾💻. For more info, read our KPMG analysis! #KPMG #EU #VAT #DigitalAge #ViDA #TaxReform 💶🇪🇺