It’s an exciting period for everyone who follows VAT news. Various countries are implementing a VAT system, others are introducing carbon taxes, while recently the e-commerce legislation in the EU went into force. All extremely interesting topics, but the most exciting of them all is the surge of real-time reporting! Multiple countries all over the world are currently in the process of implementing some variant of this tool to tackle VAT fraud.
Additionally, at this very moment the European Commission is preparing a legislative proposal to modernise the VAT reporting obligations in the EU. An independently written report will assist the European Commission to get to this proposal. In the following we will analyse some of the preliminary advice that was mentioned during a Group of the Future of VAT meeting earlier this year regarding real-time reporting (or transactions based reporting) for intra-Community transactions. We do know that the new report is speaking of four scenarios but the below analysis still applies.
Source: summitto.com
