April 23 2019

Amendments to Value Added Tax Act gazetted

Source: IBFD Tax Research Platform News

On 19 April 2019, amendments to the Value Added Tax Act were published in the State Gazette. The amendments clarify that calendar years in which assets are not used must be excluded for the purpose of calculating the periods at the end of which no adjustments for input VAT deduction are required (20 years for immovable property and 5 years for other qualifying assets and services). An adjustment must be made when the asset is no longer used for business purposes. Effective 13 July 2019, the term for the adjustment of input VAT deducted will be interrupted and suspended for each calendar year during which the movable goods or the immovable property, respectively, are not used for business purposes.