- Luxembourg plans to extend the reverse charge mechanism to specific supplies of goods from January 1, 2024
- The aim is to combat fraud and align with international tax regulation standards
- Mobile telephones, integrated circuit devices, game consoles, tablet PCs, laptops, and raw/semi-finished metals will fall under the extended reverse charge mechanism
- The liability for VAT will shift to the customer, except when the net sales amount is lower than EUR 10,000
- Suppliers will not charge VAT to customers, and recipients will be responsible for paying the VAT
- The legislative proposal is currently in draft form and subject to approval
- The end date for this special reverse charge scenario is December 31, 2026.
Source: marosavat.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
