Malaysia to apply SST on digital imports

From 1 January 2020, the Malaysian tax authority confirmed that it would amend it’s current Sales and Service Tax (SST) legislation in order to apply SST to online services supplied by non-resident (foreign) companies. At present, foreign businesses providing digital services in Malaysia do not have to charge VAT on their sales. However, in an… Read More

France to implement VAT obligations for online marketplaces from 2020

From January 2020, France will require online marketplaces to verify the Value Added Tax status of foreign sellers using their online platforms. The new rules will require digital platforms to verify VAT registration numbers of third party merchants using their platforms. This is in order to ensure they are VAT registered and accounting for VAT… Read More

Italian marketplace anti-fraud reporting requirements go live

From 31 October 2019, Italy will introduce new anti-VAT fraud reporting requirements on online marketplaces. This new requirement will oblige online platforms to report the following information directly to the Italian tax authorities on a quarterly basis: Details of each seller using their platform, including a valid Italian tax number Total sales by € and… Read More

BREXIT UPDATE: HMRC issue traders with EORI numbers

The UK tax authority (HMRC) recently announced that it would automatically provide approximately 88,000 businesses with Economic Operator Registration Identification (EORI) numbers. If the UK leaves the EU on 31 October 2019, then any business moving goods between the UK and EU countries will require an EORI number. Going forward, businesses will need this number… Read More

Vietnam B2C e-commerce withholding VAT – July 2020

From 1 July 2020, Vietnam will extend VAT to non-resident e-commerce sales to consumers. This will apply to both sales of goods and digital services. When introduced the new tax will be collected via banks and credit card companies based in the country when payment is received from their customer, and they will then be… Read More

Uzbekistan will introduce VAT on e-services in 2020

The Uzbekistan tax authority has recently confirmed that local VAT will be applicable on the sale of e-services to consumers by non-resident businesses. At present, non-resident businesses providing digital services in Uzbekistan do not have to charge VAT on their sales. However, in an effort to remove the unfair advantage that this gives to non-resident… Read More

Indonesia proposes to introduce VAT on e-commerce sales

A VAT bill is currently being reviewed by the Indonesian government that will introduce VAT at 10% on all e-commerce goods and service transactions made by non-resident companies. At present, non-resident businesses providing e-commerce supplies to Indonesia do not have to charge VAT on their sales. However, in an effort to remove the unfair advantage… Read More

Mexico proposes the implementation of VAT on e-commerce supplies

The Mexican senate is proposing to levy VAT at 16%, on digital e-commerce supplies provided to consumers by non-resident online platforms. At present, non-resident online platforms do not have to charge VAT on their sales in Mexico. However, in an effort to remove the unfair advantage that this gives to non-resident companies over Mexican resident… Read More

UPDATE: Hungary proposes a reduction of hotel VAT

The Hungarian government has confirmed that it will reduce the VAT rate applicable to hotel accommodation from 18% to 13%.  They have stated that this should be implemented on 1 January 2020. Most EU countries now offer a reduced VAT rate on hotel accommodation services linked to the tourism trade. The notable exceptions are Denmark… Read More