EU Commission Welcomes General Direction on VAT in Digital Era: A Step Towards Fair Competition

• The European Commission welcomes the general direction of the Council on its proposals regarding VAT in the digital era
• The measures aim to make the EU VAT system more business-friendly and resilient to fraud
• The rules address challenges posed by the development of the platform economy and ensure fair competition between online and traditional short-term hosting and transport services
• The update simplifies VAT rules, reduces administrative burden on businesses, and promotes growth
• The agreement aims to make life easier for taxpayers, combat fraud, and promote fair competition
• The EU loses 61 billion euros in VAT annually, and unified electronic invoicing is crucial to address this issue
• Single VAT registration will reduce administrative burden on European businesses and help SMEs expand across borders
• The new VAT rules strengthen Europe’s ability to leverage digital opportunities and address challenges, moving towards a fairer and more competitive Europe
• The proposal will be adopted by EU finance ministers after consultation with the European Parliament.

Source: ec.europa.eu

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.

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