On 11 September 2018, HMRC launched a technical consultation to seek comments on a draft HM Treasury order for changes to the VAT treatment of business to consumer supplies of digital services across the European Union, VAT: changes to the supply of digital services 2019.
The proposed measures seek to:
- introduce a (sterling equivalent) GBP 10,000 threshold for total supplies to the European Union in a year of sales of digital services; and
- allow non-EU businesses, which are registered for VAT for other purposes, to use the Mini One Stop Shop (MOSS) scheme to account for VAT on sales of digital services to consumers in EU Member States.
The consultation runs to 8 October 2018.