Additional non-residents required to register for VAT on electronic services The Indonesian Directorate General of Tax has co-opted a further ten new non-resident providers of digital services to tax on the role of VAT collector. In a communique, it confirmed the following for the latest
Electronic services by non-residents come into VAT net Kazakhstan has made foreign providers and marketplaces for digital or electronic services liable to Value Added Tax collection obligations from 1 January 2022. There is no VAT registration threshold, but there is a simplified registration process. Online
Another Canadian province imposes Provincial Sales Tax on non-resident providers The Canadian province of Manitoba is to levy 7% Provincial Sales Tax (PST) on streaming media (video and music) and online house or flat sharing services. This will include platforms that provide these services. The
Draft Bill to impose VAT on nonresident digital or electronic service providers and marketplace platforms The Philippines’ House has approved a bill (House Bill 7425 (HB 7425)) to implement VAT on “digital or electronic” supplies sold by foreign provider via the an online platform. However,
GST credits; import GST postponements; foreign low-value goods and digital providers. The Australian Taxation Office has announced a range of refliefs for businesses as the COVID-19 pandemic continues to affect businesses and consumers. The Goods and Services Tax measures include: Move to monthly GST returns
The US state of West Virginia has confirmed that streaming media services are liable to sales and use tax. However, other digital services remain exempted from the taxes. There is ambiguity on US sales tax on digital services which are sometimes overlooked in states. Around
Paraguay to withdraw Jan 2022 withholding tax on foreign digital services Paraguay is to suspend from January 2022 the reach on intermediaries of its Digital Services Tax – withholding tax on non-resident income (INR). The 4.5% INR was introduced at the start of 2021 as
Thailand has become the latest country to impose Value Added Tax on non-resident providers and electronic marketplaces of digital or electronic services from 1 September 2021. This includes a VAT registration threshold of THB 1.8million annum (approx. €46,000), after which sellers should register with the
Marketplaces face new turnover tax to level playing field for domestic e-retailers and high streets Vietnam has announced a 1.5% on the income of non-resident marketplaces from their income on sales to Vietnamese consumers. The aim is to level the playing field for local online
Peru has yet to impost its Value Added Tax on digital or electronic services provided by non-resident sellers or marketplaces. B2B domestic supplies of e-services are already liable to VAT. B2B supplies from abroad to resident businesses may be zero-rated under the reverse charge mechanism.
