5 October 2020
According to the annual VAT gap study, an estimated €140 billion in VAT revenue was lost within the European Union (EU) due to non-compliance or non-collection during the year 2018. When compared with the same study from 2017, this shows an increase of €3 billion.
The VAT gap study is funded by the European Commission as part of its work to reform the VAT system and clamp down on tax evasion within the EU.
Each year, the study sets out detailed data on the gap between the amount of VAT due and the amount of VAT actually collected in the 28 member states. The main factors contributing to the VAT gap are said to be evasion, complicated VAT systems, and mistakes due to multiple VAT rates.
Are you trading globally? Whether you require basic VAT advice or specific VAT compliance support, Fiscal Solutions can help. Our team of multi-lingual experts are knowledgeable in all the different VAT rules in Europe and around the world.
We help you simplify today’s complexities and address tomorrow’s challenges. The values we represent, and our consistent advice, mean you can trust Fiscal Solutions to do the right thing – for you and your organisation.
LATEST NEWS
Belgium to cut e-book VAT rate from 1 January 2022
From 1 January 2022, the Belgium tax authorities have confirmed that the VAT rate on the sale of e-books, e-manuals, e-newspapers, and e-magazines sold online...
SEE MORE
LATEST NEWS
Ukraine to apply VAT on digital services from January...
From 1 January 2022, Ukraine will impose VAT at 20% on the sale of e-services to local consumers by non-resident businesses. At present, non-resident...
SEE MORE
LATEST NEWS
Does a UK e-commerce business need an IOSS...
From 1 July 2021, the EU’s new e-commerce VAT reforms will be introduced allowing sellers to no longer pay import VAT at clearance on low-value consignments...
SEE MORE