February fuel inflation prompts VAT cut The Cyprus government has implemented a temporary cut in the Value Added Tax rate on petrol from the standard rate to 5%. A power consumption rate cut was already in place to 9%, and this has been extended. The
European Commission proposal to give its VAT Committee legal interpretative status – comitology – update In December 2020, the European Commission provided detailed proposals to give its VAT Committee the right to rule on certain aspects of the EU VAT Directive. This would give it
EU Finance Ministers agree reduced VAT rate freedoms at December ECOFIN; 2025 implementation deadline but states may proceed early 2022 A new proposal for more use of reduced VAT rates – including below 5% for the first time (in addition to existing 0% rate option)
January 2020 four reforms to improve efficiency of B2B EU VAT regime Since 1 January 2020, the EU introduced four changes to EU B2B compliance system to help harmonise the rules and make cross-border trade easier. These were part of the 2016 VAT Action Plan,
Latest estimate on lost EU VAT shows €6.6bn shrinkage – but COVID-19 effect won’t show till next year The European Union member states are estimated to be losing €134 billion per annum in Value Added Tax revenues based on the European Commission’s (EC) latest ‘VAT
Finance Ministers set to review finalised compromise text on reduced VAT rate freedoms at next week’s December ECOFIN meeting. July 2022 implementation still open Last week, VAT experts met to discuss a final compromise draft on giving EU member states more freedoms around setting reduced VAT
Finance Ministers set to review finalised text on reduced VAT rate freedoms at December ECOFIN meeting. July 2022 implementation still open Talks are advancing this week on giving EU member states more freedoms around setting reduced VAT rates on a wider ranges of goods and
Two new data requirements on country of origin and the recipient introduced from 1 January 2022 The EU’s reporting regime for the movement of goods between member states, Intrastat, is being updated on 1 January 2022. This will require the capture and reporting of extra
EU Parliament highlight disproportionate cost for small businesses; EU VAT rate could be cut to 15% if reduced rates withdrawn An EU Parliamentary Research Service study has highlighted that the use of reduced VAT rates by member states raises the compliance costs for businesses. In
