December 14 2018

Proposed amendments to Regulations for application of Value Added Tax Act

Source: IBFD Tax Research Platform News

On 30 November 2018, the Ministry of Finance published for public consultation a proposal for amendments to Regulations for the application of the Value Added Tax Act. The proposal includes the following main topics:

  • new notifications that taxable persons should submit to tax authorities in specific cases in relation to the introduction of the threshold of EUR 10,000 for EU cross-border supplies of B2C digital services as of 1 January 2019;
  • evidence (documents) required for applying 0% VAT for supplies meeting the immediate needs of vessels and aircraft used by airline performing chiefly international flights or trains in relation to international transport;
  • additional details on the application of the postponed accounting of import VAT that should be possible as of 1 July 2019; and
  • clarifications on the determination of the taxable base in special cases (e.g. free of charge supplies, personal use of business assets).

The public consultation will continue until 30 December 2018. Further developments will be reported when they occur.