- New regulations have been approved to apply value-added tax (VAT) on cross-border digital services, covering a wide range of activities such as uploading electronic content and placing advertisements online.
- The regulations include no registration threshold, bringing all digital service businesses under the VAT system.
- Customer location is determined using IP addresses or country codes linked to mobile numbers.
- The regulations apply to both business-to-consumer (B2C) and business-to-business (B2B) sales, with taxpayers required to issue e-invoices for B2B transactions and verify their customers’ tax identification numbers (TIN).
Source GlobalVATcompliance
