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Dominican Republic stalled: 2025 18% VAT foreign digital service providers

25 October 2024 in

digital services

President drops 2025 tax reform bill introducing 18% VAT on non-resident providers of e-services The Caribbean island state of Dominican Republic has withdrawn plans to implement VAT liabilities for foreign providers of digital services for local consumers. The President was unable to gather enough political

Chile VAT digital services B2C non-residents update

12 October 2024 in

Chile

2026 platform operator liabilities; new place of supply rules Chile introduced B2C VAT obligations on non-resident providers of digital services in July 2020. A new Bill is proposing updating requirements from January 2027: Digital platform VAT obligations following the deemed supplier rules; and Update on

Philippines Jun 2025: 12% VAT on digital services passes into law

2 October 2024 in

digital services

Likely June 2025 launch for Act to impose 12% VAT on nonresident digital service B2C providers & platforms The Philippines President, Ferdinand Marcos Jr., signed into law Senate Bill 2528 a measure imposing the 12% value-added tax (VAT) on nonresident digital service providers. In August,

VAT on cross-border B2B digital services

10 September 2024 in

digital services

Which countries do not apply VAT reverse charge on B2B electronic, broadcast and telecoms services Over 120 countries have VAT of digital services when supplied by non-residents to consumers. A small number have opted to also tax B2B transactions, and not allow for the obligations

Colombia VAT digital services; extension to digital platforms

4 September 2024 in

Colombia

President considering extending 19% VAT obligations to ride, gig and betting digital platforms Columbia’s proposed 2025 budget may be modified to include an extension of VAT collection obligations to digital platforms and marketplaces. This would include gig economy (e.g. Uber) and accommodation sharing (e.g. Airbnb).

Liechtenstein VAT on digital services – non-residents

3 September 2024 in

digital services

Foreign VAT obligations; administered via Swiss tax authorities The Principality of Liechtenstein imposed Value Added Tax on digital or electronic services in 2010. There is a global income VAT registration threshold of CHF100,000. Liechtenstein and Switzerland have a common VAT policy, therefore the rules concerning

Global VAT & GST on digital services to consumers

2 September 2024 in

apps

Over 120 countries have implemented VAT, GST or sales taxes on non-resident providers of digital services to their consumers. Below is a list of implemented and proposed regimes. Calculate or verify global VAT or GST calculations on digital services via VAT Calc's VAT Calculator or VAT Auditor services.

Japan Consumption Tax digital services update

12 August 2024 in

Consumption Tax

Finance Ministry to extend VAT collections to app stores 1st April 2025 The Japanese National Tax Agency has published Frequently Asked Questions to support the imposition of the deemed supplier Consumption Tax obligations on digital platforms for digital services. This comes into effect on 1

Russia VAT on foreign digital service update

5 August 2024 in

digital services

Update to 2017 requirements, including place of supply and EEU supplies The Russian Federation imposed the obligation to Value Added Tax register on foreign providers of digital or electronic services from 1 January 2017. This includes sales of services to consumers and businesses customers, too

South Africa VAT on digital services non-residents; B2B reverse charge

4 August 2024 in

digital services

Consultation on introduction of reverse charge on B2B sales by non-residents 1st April 2025 The South African National Treasury has opened a consultation until 31 August 2024 on ending the obligation on non-resident providers and digital platforms to charge VAT on digital services to VAT-registered businesses.

Tag: electronic services