VAT

What the metaverse could mean for VAT professionals

Part 2 The META-VAT conundrum As revealed in Part 1, both the digital economy and the metaverse are fast-developing environments creating new challenges for tax administrations. So, what does that mean for VAT? We’ve highlighted three specific examples to illustrate the sheer complexity of applying VAT to the metaverse. 1. Virtual events Imagine y […]

METAVAT… and other VERSE stories

Welcome to our new blog series spotlighting the metaverse and what it could mean for planet VAT. Part 1 explores the metaverse and its concepts, with Part 2 homing in on specific VAT concerns and digitalization in its broadest sense. Part 1 What is the metaverse and how will it disrupt the world as we know it? The race to the first metaverse (amassing one […]

Part 2: DAC7 & record-keeping obligations for digital platforms

Welcome to Part 2 where we take a closer look at DAC7 which introduces an automatic exchange of information between Member States’ tax administrations for income generated by sellers on digital platforms. In its political guidelines (“A Union that strives for more”) for the next European Commission 2019-2024, the EU Commission reiterated its willingness […]

New VAT obligations for electronic marketplaces

“It was high time we updated our tax rules to reflect the growing importance of digital platforms for the European Economy. Once the new rules (…) are adopted and implemented, national authorities will automatically exchange information on the revenues generated by sellers on these platforms, and those sellers will benefit from simpler administrative procedu […]

How you’re going to make it to the new VAT system of 2022

Have a look at this timeline for the new, definitive VAT system. You may realize that 2022 is not so far away. Though that deadline remains subject to the recommendations of the EU Commission, the time to act is right now! Fortunately, the VAT package offers several measures, or “short-term quick fixes,” adopted by many Member States for entry into forc […]

What you should know about the VAT package of 2022

“VAT is a major source of tax revenue for EU Member States. Yet, we face a staggering fiscal gap: the VAT revenues collected are EUR 170 billion short of what they should be. This is a huge waste of money…”[1] Pierre Moscovici’s statement feels quite clear. The VAT rules, as they currently exist, do not seem suitable for a constantly evolving tax envi […]