- Liechtenstein to implement new VAT regulations by Law No. 641.20 effective January 1, 2025
- Changes include VAT liability for online platforms, new data-sharing obligations, and updated place-of-supply rules
- Regulations align with Swiss VAT law to maintain a harmonized VAT regime between Liechtenstein and Switzerland
- Online platforms facilitating sales will need to register for VAT, issue invoices, and remit taxes
- Definition of electronic platform broadened to include various online business models
- Platforms can avoid VAT liability by not participating in the ordering process or merely providing payment processing or advertising services
- New data-sharing obligations require platforms to provide information to tax authorities upon request
- Taxation of services will be based on the recipient’s location, affecting online services like training
- Online businesses will face increased administrative burdens and potential VAT liability on facilitated sales
- Businesses must prepare for compliance to avoid penalties and consider implications for cross-border transactions
Source: fonoa.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.
