27 July 2016
From 1 January 2017 Hungary plans to lower VAT on internet services from 27% to 18%.
However, the European Commission (EC) has requested that they delay this planned cut as they believe that it is in breach of EU VAT rules as internet services are not listed in Annex II of the VAT Directive. Annex II is a list of supplies that may enjoy a reduced VAT rate.
In the future the EC proposes to let member states have the right to set more reduced VAT rates as part of the proposed VAT Action Plan; however it is not clear yet if and when this will be introduced.
LATEST NEWS
Belgium approves draft law for near-real-time...
July saw the Belgian Council of Ministers approve a preliminary draft law to introduce near-real-time electronic reporting of certain invoice data to the tax...
SEE MORE
LATEST NEWS
Luxembourg proposes the introduction of electronic...
This month Luxembourg’s Government approved a draft law to introduce mandatory structured business-to-business (B2B) e-invoicing for domestic transactions...
SEE MORE
LATEST NEWS
Germany's action plan signals move toward...
Germany has announced a 26-point “Action Plan” against tax and financial crime, which aims to increase detection risk, strengthen enforcement, and improve...
SEE MORE