Regulatory Analysis

Posted June 18, 2020 by Jeff Gambold
Germany: Temporary lowering of VAT Standard Rate and Reduced Rate between 1 July and 31 December 2020

Germany’s Federal Ministry of Finance has announced that VAT rates will be temporarily reduced from 1 July 2020 through 31 December 2020 to stimulate the economy in response to the coronavirus pandemic. The standard rate is to be lowered from 19% to 16%, and the reduced rate is to be lowered from 7% to 5%. […]

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Posted June 18, 2020 by Muazzam Malik
Czech Republic: New VAT rules for cross-border e-commerce from 2021

The Czech Ministry of Finance has announced the removal of the concession whereby the import into Czech from outside the EU of small consignments valued at less than 22 euros were exempted from import VAT.  This equalizes the VAT treatment with goods arriving from EU countries.  This change will coincide with the adoption of the […]

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Posted May 29, 2020 by Paul Ogawa
IRS Extends Due Date for Form 5498 Series to August 31

Through Notice 2020-35, the IRS further extended the due date for Form 5498 series records including Form 5498 (IRA Contribution Information), 5498-ESA (Coverdell ESA Contribution Information) and 5498-SA (HAS, Archer MSA, or Medicare Advantage MSA Information). The due date for filing these forms with the IRS and furnishing these forms to recipients has been extended to […]

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Posted May 29, 2020 by Ramón Frias
Paraguay Delays the Application of VAT to Foreign Suppliers of Digital Services

The tax administration of Paraguay (Secretaria de Estado de Tributacion or SET) has announced that the country will be delaying for six months the application of VAT on digital services supplied by foreign non-established providers. According to the recent tax reform, a new withholding system would start to apply on July 1, 2020 to all […]

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Posted May 29, 2020 by Jeff Gambold
European Commission suggests a new levy on large businesses

In conjunction with its revised 1,100 bn budget projection for the period 2021-2027, the European Commission has published its Next Generation EU strategy for alleviating the social and economic impact of the Covid-19 pandemic, to be financed by up to 750bn euros of borrowing.  The intention is that this borrowing will be paid back in […]

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Posted May 29, 2020 by Ramón Frias
DIAN issues New Resolution to Regulate the Electronic Invoicing

The Colombian tax administration (DIAN) has released Resolution 00042/2020, intended to establish new deadlines for complying with Colombia’s electronic invoicing mandate, and to consolidate in a single provision multiple regulations in matters of electronic invoicing. An important feature of this new resolution is that it also includes Technical Annex 1.7-2020, required to implement the mandate. […]

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Posted May 29, 2020 by Jeff Gambold
Poland: JPK_VAT launch delayed to October 2020

On 28 May 2020, the Polish Ministry of Finance announced that compulsory filing by all taxpayers of the new combined JPK_VAT uniform control file and VAT return structure has been deferred to 1 October 2020 due to compliance challenges arising from coronavirus, according to a Gazeta Prawna report. It was previously deferred to 1 July as […]

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Posted May 29, 2020 by Victor Duarte
Bolivia: Adoption of electronic invoicing system postponed

The Resolution N° 101800000026 establishing the electronic invoicing system (SFE) in Bolivia has been repealed, as the relevant authorities have recognized that taxable persons will not be able to adapt to the new rules and conditions set in the Resolution this year as envisaged. The Government has not yet announced a new date for the […]

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Posted May 29, 2020 by Charles Maniace
SD and TX Both Announce Exemption for Internet Access

In recent days, the South Dakota and Texas Departments of Revenue announced that internet access charges would become exempt from sales tax effective July 1, 2020. While states are struggling with massive budget shortfalls as a result of the COVID-19 pandemic, this particular exemption is compelled by an earlier change to the US Internet Tax […]

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Posted May 21, 2020 by Robert Beck
SSA Releases 2020 W-2C Specifications

The SSA recently released its 2020 W-2C Specifications. There were no changes to the specifications though there were updates to the total amounts applicable to Social Security Wage Base, Social Security Withheld, and the Maximum Social Security Wage base for 2020. To view the full specifications release, click here.

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Posted May 21, 2020 by Robert Beck
SSA Releases 2020 W-2 Specifications

The SSA recently released its 2020 W-2 Specifications. There were no changes to the specifications though there were updates to the total amounts applicable to Social Security Wage Base, Social Security Withheld, and the Maximum Social Security Wage base for 2020. To view the full specifications release, click here.

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Posted May 21, 2020 by Matthew Gonnella
Louisiana Announces Effective Date for Remote Seller Registration and Collection of state and local sales tax

Louisiana announced that remote sellers selling into the state are required to register with the Louisiana Sales and Use tax Commission for Remote Sellers by July 31, 2020 or 30 calendar days after meeting Louisiana’s economic nexus threshold standards. Remote sellers will begin collecting state and local sales and use tax at standard rates once […]

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Posted May 15, 2020 by Filippa Jörnstedt
India: updates to the JSON e-invoice schema published

A new JSON e-Invoice schema (v1.02) has been released by the Indian Tax Authority. The update includes only minor changes and no new fields. While version 1.02 is now available for testing, version 1.01 will continue as is for some time prior to being phased out.

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Posted May 14, 2020 by Robert Beck
Maryland Changes Reporting Obligations for Third-Party Settlement Organizations

The Maryland legislature recently passed the Budget Reconciliation and Financing Act of 2020 (SB 192) which in part significantly changes the information return reporting obligations of third-party settlement organizations (TPSOs). SB 192 requires TPSOs who must issue Form 1099-K to report payments made to their payees if the amount of the reportable payment meets or […]

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Posted May 11, 2020 by Denise Hatem
European Commission Proposes Postponement of 2021 VAT E-Commerce Package due to Coronavirus

Due to the coronavirus (COVID-19) crisis, the European Commission has proposed to defer the application of the VAT e-commerce package from 1 January 2021 to 1 July 2021. The Commission expects that the European Parliament and Council will soon adopt the proposal.

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Posted May 1, 2020 by Ramón Frias
SPAIN: New Reduced Rate for Electronic Publications

Spain enacted Decree 15/2020 by which electronic publications become subject to a reduced rate of 4%. This new rate became effective on April 23, 2020 and applies to all books, magazines, newspapers and similar publications issued digitally. The new decree also establishes a temporary exemption until July 2020, of all imports and intra-EU acquisitions of […]

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Posted May 1, 2020 by Paul Ogawa
Maryland Issues Extensions for Withholding Taxes, Provides Teleworking Guidance Update

The Maryland Comptroller’s Office recently issued a number of extensions for tax payments and reporting due to the COVID-19 pandemic, including employer withholding tax. For payments and tax returns due between February 2020 and May 2020, these reports and payments will now be due on July 15, 2020. Separate reports must be filed for each […]

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Posted April 22, 2020 by Paul Ogawa
Iowa Announces Small Business Relief Program for COVID-19

Iowa Governor Kim Reynolds announced an Iowa Small Business Relief Program to assist the state’s small businesses impacted by the COVID-19 pandemic. This program offers small businesses relief grants and tax deferral of sales and/or withholding taxes due along with waiver of penalty and interest for retail sales and/or withholding taxes due on or after […]

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