Inflation exceeds 21% in July (19% in June), highest in 20 years The Latvian Ministry of Economics is considering a two-year cut in the Value Added Tax rate on basic foodstuffs from 21% to 5%. This would cover meat, diary and bread. An extension to
Split payments of VAT to combat fraud The Caribbean islands state of the Bahamas has imposed Withholding VAT on payments by certain government bodies to commercial taxpayers. The aim is to combat VAT fraud by requiring public customers to split some of the VAT element
Bosnia continues harmonisation with EU VAT Directive rules Bosnia and Herzegovina is to update a range of VAT rules under its Law on VAT. This is to help businesses comply with the rules, but also to harmonis the indirect tax regime with the EU VAT
Reduction in limit on cash settlements to fight fraud Israel has reduced the permitted threshold for cash payments on B2B VAT invoices. From 1 August 2022, the maximum that may be settled in cash will be 6,000 shekles (approx. $1,795). It had previously been 11,000
Major global Value Added Tax and Goods and Services Tax changes from 1 August 2022 To get free regular e-mail news alerts on global VAT or GST changes, sign-up to our newsletter
Inflation hits 12.7% prompting temporary reversal of 2021 VAT rise Botswana is to cut VAT from 14% to 12% from 1 August until 31 January 2023. Botswana raised VAT to 14% in April 2021. The measure was to shore up revenues following the COVID-19 crisis
Reduction in VAT rates for accommodation, restaurants and hotels The Peruvian Congress has agreed a temporary reduction in the Value Added Tax rate on tourism and hospitality. This includes: Hotel and similar accommodation Restaurant and café services Catering services The rate will be reduced from
Two-step sales tax (gross receipts tax) rate reduction with growing dependency of energy taxes The US state of New Mexico has reduced its sales tax (termed gross receipts tax) rate from 5.125% to 5%. It will be cut again by the same amount to 4.875%
EU VAT Directive amendments for Single VAT registration, digital reporting requirements (e-invoicing) and digital platforms VAT role due November The European Commission has confirmed that details of major reforms to the VAT regime will be published on 16 November 2022. These reforms, known collectively as
