Tax measures in 2023 budget law

• The so-called effective use rule, or effective use clause, on the place of supply of certain services was modified.
• Certain aspects of the recovery of VAT on bad debts were amended.
• The scenarios in which the reverse charge mechanism applies were changed.
• Certain changes regarding the application of VAT to electronic commerce were introduced.
• Reduced VAT rates for feminine hygiene products, contraceptives and other non-medicinal contraceptives, as well as for certain food products, were enacted, and reduced VAT rates on energy were extended.

Source KPMG