Regulatory Analysis
On November 1, 2018, Decree 119/2018/ND-CP took effect in Vietnam. Pursuant to this decree some businesses may be required to switch to e-invoicing upon notification by the tax authorities. However, e-invoicing will not be mandatory until November 1, 2020.
On November 6, 2018, the European Economic and Financial Affairs Council announced the adoption of a Council Directive which allows EU Member States to align their VAT rules for physical and electronic publications. Electronic publications are currently taxed at the standard VAT rate, while physical publications may be subject to reduced rates. With the adoption […]
On October 26, the Polish Council of Ministers confirmed that it will introduce a new SAF-T scheme (JPK_VDEK) aimed at replacing the VAT-7 and VAT-7K declarations. The draft legislation will become available during the fourth quarter of 2018. If enacted, taxpayers will submit only one document, the JPK_VDEK file, without additional attachments. The Ministry of Finance […]
Australian Treasurer, Josh Frydenburg, has announced that the Australian Government is taking steps towards removing the 10% GST that is imposed on feminine hygiene products in Australia. Frydenburg stated last week that it was the intent of the legislature to have an exemption in place by January 1, 2019 for these products. This announcement comes ahead […]
In a press release on October 16, 2018, Her Majesty's Revenue & Customs (HMRC) announced that the previously reserved pilot program for Making Tax Digital (MTD) was expanded to a much larger pool of businesses. According to the statement, HMRC is now allowing half a million businesses to enter the pilot testing program for MTD, in order […]
The National Statistical Institute of Bulgaria announced the following Intrastat thresholds for 2019: For Intrastat reporting dispatches, the threshold was increased from BGN 260,000 to BGN 280,000. For Intrastat reporting arrivals, the threshold was increased from BGN 430,000 to BGN 460,000. For further information regarding this announcement, please see here.
The Peruvian Tax Administration (SUNAT) published on October 15, 2018, regulation 242-2018/SUNAT, which establishes some new obligations to Operators of Electronic Services (OSEs) and also updates the sanctions for non-compliance when applicable. According to the new regulation, OSEs are now required to post in a web page the invoices that they have validated and make […]
The Brazilian Congress is once again considering a series of tax reforms aimed at simplifying its incredibly complicated indirect tax system. The primary proposal (known as PEC 293) proposes to replace the following taxes with a nationwide VAT. 1. ICMS – state-level VAT 2. IPI – federal tax on industrialized products 3. ISS – […]
The Mexican Congress is proposing to re-establish a reduced VAT rate in the border states of Baja California, Baja California Sur, Quintana Roo, and in the municipalities of Caborca and Cananea of the state of Sonora. The new proposed rate for those regions would be 8%, applicable to transactions of goods or services made by inhabitants […]
After a meeting with the Confederation of Chambers of Commerce and Tourism (CONCANACO), the Mexican Tax Administration (SAT) decided to postpone for two months the new process of Cancellation of the CFDI (https://www.sat.gob.mx/noticias/54244/se-prorroga-al-1-de-noviembre-de-2018-la-operacion-del-nuevo-proceso-de-cancelacion-de-facturas). The petition of postponement was based on the fact that a lot of taxpayers were not ready from the technological standpoint, to […]
Country-by-Country News The Final Countdown to Mandatory eInvoicing in Italy September 1 marked the second milestone of the entry into force of the Italian eInvoicing mandate – this time targeting certain B2C goods purchased by non-EU citizens over a certain amount. But crucially, it also marked the three month, or 122 day, countdown to the […]
While nothing is official yet, there have been rumblings out of the Polish Ministry of Finance that sometime in 2019 the Government may do away with the time-tested requirement of submitting a monthly VAT return. In lieu of requiring the monthly return, Poland would incorporate additional data elements into their existing monthly SAF-T (Standard Audit […]
The congress of Venezuela has enacted Decree 3.584/2018, by which the standard rate of VAT will be increased from 12% to 16%, effective September 1, 2018. According to the Decree, the rate increase will be temporary and will last until the end of 2019. This measure is intended to increase the tax collection of the […]
While the official position of the UK Government is that "Hard Brexit" remains an unlikely possibility given the mutual interests in reaching a negotiated withdrawal, Her Majesty Revenue and Customs (HMRC) nonetheless remains busy drafting rules and guidance which would come into play should the UK exit as of March 29, 2019. Their latest publication […]
On August 3, 2018, the federal tax administration of Argentina (AFIP) enacted Resolutions 4290, 4291 and 4292, which specify deadlines and unify procedures that taxpayers should follow when issuing, reporting and saving invoices. According to these resolutions, regular and small taxpayers, as well those that are not subject or exempt from VAT, should use Fiscal controllers […]
South Africa's Minister of Finance has published a draft amendment, which if enacted, would change South Africa's VAT rate back to 14%. This proposed draft amendment, which is open for public comment, would revert the rate back to 14% and currently has a retro-active effective date to April 1, 2018. The proposed amendment comes after […]
On Friday, July 13, 2018, HMRC released additional information regarding the Making Tax Digital initiative, which is currently set to go into effect in the United Kingdom on April 1, 2019. This new information, contained in; VAT Notice 700/22, includes further details on the requirements of digital records and digital links where data transfer is made between software […]
The Ministry of Finance announced on their Twitter account, a Roadmap for the implementation process of the new eInvoicing regime in Panama. The announcement illustrated that 69% of the implementation process has been completed to date, and that as of June 26, 2018 the tax administration system will start receiving, processing and validating electronic invoices […]