- All EU countries are feeling the effects of the pandemic and the ongoing war in Ukraine
- Some countries are experiencing economic crises due to VAT rate cuts and changes in electricity and gas prices
- Almost every year, there are changes in VAT rates in various countries, some at the beginning of the year and some during the year
- In 2025, Slovakia will increase its standard VAT rate from 20% to 23% in January due to a growing financial crisis and recommendations from the European Union to improve the situation
- In September 2024, Finland raised its standard VAT rate from 24% to 25.5% to strengthen the tax system and provide additional funds for public spending
- Finland is also increasing its defense spending to 3.3% of GDP, which is one of the reasons for the VAT increase
- VAT rate changes are expected in Estonia in July 2025, which have been long anticipated
- The 2025 EU VAT rates can be found in the table below, which will be continuously updated
- It is advised to bookmark the page and monitor updates, especially when starting to sell goods or services to other EU countries, to adjust VAT rates in sales and invoicing systems
Source: eurofiscalis.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.
