Earlier this month the Hungarian government introduced a budget bill for 2018. Included in the budget is a proposal to reduce the VAT rate on fish, catering services, and internet services to 5%. The bill also confirms an implementation delay for the mandatory filing of B2B VAT invoices with the government, which was scheduled to start on July […]
The Cyprus Tax Department has announced that from May 2, 2017, periodic VAT returns (Form 4) must be submitted electronically through the TAXISnet system. The announcement stresses that the TAXISnet system for indirect tax is separate from the TAXISnet system for income tax, and requires a separate request for access.
Latvia has adopted several amendments to its VAT Act. Included among these amendments are adjustments to the timing of VAT input deductions, adjustments to the section on the deductions of bad debts, and updated references to European Council Regulations. Additional amendments eliminate the exemption for services provided by cooperative societies, and specify that non-Latvian EU […]
The Dutch government has initiated public consultations on new VAT rules that would allow adjustments, similar to those which currently apply to capital goods, to apply to “valuable” services, i.e., services which are capitalized and depreciated by companies over a period of time. These rules, if approved, would take effect in January of 2018. Comments […]
The UK HMRC has updated its list of CRS Reportable Jurisdictions in order to remove three countries from the list: Barbados, Curacao, and Niue. HMRC has decided that it will not be sharing financial account information with these three jurisdictions at this time. Financial Institutions may still send reports to HMRC containing data for accountholders […]
The Turks and Caicos Islands Exchange of Information Unit has published a set of guidance notes for the implementation of the Common Reporting Standard and related domestic legislation. The guidance addresses a wide range of AEOI topics, including the following: Operation of CRS in Turks and Caicos Treatment of investment manager/adviser financial accounts CRS self-certification […]
Egypt’s VAT rate is scheduled to increase form 13% to 14% on July 1, 2017, as dictated by Article 3 of the Egyptian VAT Act. Egypt introduced VAT at the current 13% rate just last year, overhauling its previous sales tax law. In addition to the July rate increase, VAT liable persons should also note that the […]
The first Brexit negotiations between the United Kingdom and the European Union have officially been scheduled for June 19. In preparation, the 27 remaining Member States have unanimously agreed on a set of guidelines that prioritize safeguarding the rights of EU citizens within the UK and obtaining a ‘single financial settlement’ for outstanding British contributions to common […]
Germany has passed a new law, retroactively effective to January 1, 2017, to simplify input VAT deduction procedures for low-value purchases (“invoices for small amounts”). Under Section 15 of the German VAT Act, input VAT deductions can only be claimed by recipients of invoices that meet standardized requirements – for instance, recipient information must be […]
France has recently published a decree on the obligations of foreign taxpayers to appoint a VAT representative. The decree amends a list of countries that have signed tax recovery assistance treaties with France. Foreign taxpayers established in the listed countries are not required to appoint a VAT representative to manage their VAT obligations in France. […]
Her Majesty’s Revenue and Customs (HMRC) has published Issue 1 of VAT Notes 2017, a newsletter providing VAT guidance to tax professionals. The current issue contains links to recently-published or revised HMRC notices, information on special schemes for alcohol and tobacco transactions, and a link to HMRC’s online VAT services. Four issues of “VAT Notes” […]
Under a new measure that enters into force on January 1, 2018, VAT taxpayers will be required to use only “secured and certified ” software accounting systems when recording customer payments. To be “secured and certified,” accounting systems must meet specified requirements of inalterability, security, retention, and archival prowess. The French tax administration is authorized […]
On May 12th, 2017, the SAT (Mexican tax authority) announced that it will be providing taxpayers an extension for the implementation of CFDI version 3.3 and Complemento de Pagos. Starting December 1st, 2017, all taxpayers will be required to comply with the CFDI version 3.3 and the Complemento de Pagos. Although the CFDI 3.2 version […]
The Cayman Islands has opened its AEOI Portal for CRS and FATCA notification and reporting. In addition, a new portal user guide has been released. The guide provides assistance with both the notification and reporting requirements. Reporting Financial Institutions should keep in mind that there will be no CDOT functionality on the portal for this […]
As Mexico attempts to better track the money flowing through its economy – and the taxes owed on said transactions – it recently introduced a new process requiring companies to submit payment receipts. This new mandate, which goes into effect on December 1, 2017, will affect both IT and business teams, yet is not supported […]
Bermuda has published Guidance for Financial Institutions to follow with respect to the Common Reporting Standard. Financial Institutions and their advisors should pay particular attention to the information as it covers many facets of the due diligence and reporting requirements. In particular, the Guidance provides that the due date for this year’s reporting will be […]
Bahrain, a late adopter jurisdiction, has recently posted legislation (CRS Directive) concerning the Common Reporting Standard. The legislation, though brief, does provide some important information for Financial Institutions. Of note, Bahrain will require CRS returns to be furnished by May 2, and that FIs submit nil reports. In addition, there is a list of Participating Jurisdictions […]