Welcome to our monthly summary of Value Added Tax news and insights curated and summarized by the Sovos Compliance Tax Research Team. Here is the country-by-country report for November 2016. European Council Adopts Conclusions on Cross-Border VAT Rules On November 8, 2016, the Council of the European Union officially adopted a set of draft conclusions […]
Effective November 1, 2016, the District of Columbia (DC) is imposing a paint recovery fee (also known as a PaintCare fee) on qualifying architectural paint products. This new PaintCare fee will make compliance slightly more difficult for paint retailers accustomed to the current size-based product fee structure. History PaintCare fees are nothing new in the […]
Mexico’s tax authority, the SAT, announced its implementation of real-time, electronic audits earlier this year. Since going live with this initiative in September, it recently issued a new statement regarding its progress and goals for the program. Designed to speed up the auditing process and minimize the time it takes for taxpayers to correct compliance […]
On October 26, 2016, Colombia’s DIAN (Dirección de Impuestos y Aduanas Nacionales) announced the successful completion of its e-invoicing pilot program, meaning that mandated participation will soon begin to roll out. As the leader in Latin American electronic invoicing and fiscal reporting, Sovos participated in Colombia’s pilot program with key customers. With the announcement of […]
What are companies’ most valuable assets? Is it the machinery and materials (tangibles) used to produce products, or the people, ideas and tasks (intangibles) that drive business value? Over the past few decades, the answer has shifted, with intangible assets generating 85% of business value, according to a recent CFO article. The article’s author, William […]
A region of opportunity for businesses, Latin American countries offer multinationals affordable labor, low infrastructure costs and incentives. Despite the rewards, this region also serves as one of the most complex environments for businesses to operate due to governments’ mandated e-invoicing and tax reporting compliance initiatives. Over the last decade, LATAM’s largest economies – specifically […]
The Internal Revenue Service (IRS) made two important announcements regarding the information reporting requirements imposed under the Affordable Care Act (ACA) in Notice 2016-70, released on November 18, 2016. Specifically, the IRS announced: That it was extending the due date for furnishing statements to recipients (Forms 1095-B and 1095-C) That it was extending good faith […]
Thank you to all who attended our third “VAT Compliance in a Digital Age” event on November 3 at the beautiful Sofitel – Legend the Grand in Amsterdam. The standing-room-only gathering included an interactive discussion focused on the digital developments around SAF-T reporting. Our guest speaker, Daniel Kroesen from Ernst & Young, shared his insights […]
Wondering if your online retail business is ready for tax compliance during this year’s holiday season? Be sure to check out these top seven tips from Matt Walsh, Vice President of Tax at Sovos Compliance. Read Matt’s entire article on Website Magazine.
As many people grow older, they become concerned that they may outlive their monetary resources. The IRS created Qualified Longevity Annual Contracts (QLAC) to address this issue and provide peace of mind to those affected. Form 1098-Q is used to report premiums paid on QLACs. QLACs guarantee that funds in a qualified retirement plan — […]
VAT Managers Need to Prepare For Audits and the Expansion of SAF-T Rules So far companies have not been confronted often with an audit by the tax inspector – the average business gets an on-site visit for a VAT audit once in every 5-7 years. With the advent of SAF-T reporting and E-Audits for VAT, […]
In September, we held an exclusive AEOI networking event in New York City, where we brought together representatives from the IRS, leading financial intuitions and other industry practitioners all in one room to discuss the importance of syncing tax compliance and tax operations in light of the latest updates in Global Information Reporting. With expectations […]
In September, the European Commission released a report regarding uncollected VAT throughout the E.U., and the results underscore why we’re seeing such a tidal wave of tax compliance legislation across the globe. In 2014 alone, E.U. countries lost €159.5 billion in value added tax (VAT) revenue. This infographic outlines the VAT gap by country, with […]
Tuesday’s presidential election spurred hyperbolic talk about potential implications to Affordable Care Act (ACA) legislation, leaving businesses wondering if they would still need to comply with this legislation and what it may look like going forward. First, it is important to remember that ACA is still in effect and will continue to be in effect […]
Tuesday, November 8th was Election Day in the United States. Federal, state and local offices and ballot questions brought millions of American’s to the polls. As with every election there were results that were expected, some surprises and many changes that will impact the business community in the coming years. Sovos will be monitoring all […]
With arguably the most complex business regulatory environment in the world, Brazil presents challenges to global enterprises that go well beyond systems integrations and updating compliance interfaces. The requirements in Brazil – including NFe, SPED, Block K and eSocial – necessitate not just a technological solution, but changes to operational process and business strategies as […]
Voters in Missouri are to decide on a Constitutional amendment restricting sales taxes on services. Synopsis: Missouri is voting on a constitutional amendment that could severely impact sales tax policy for generations. The Election This election season we are electing a new president, seats in the U.S. House of Representatives and Senate are up for […]
Understandably, one of your clients’ biggest concerns related to the Affordable Care Act (ACA) is incurring penalties from incorrect reporting. You can help them avoid these costly mistakes by providing information they need to navigate this tax season. Below we’ve shared two resources to assist you. First is a link to a recent Sovos webinar […]