Indirect Tax News – October 2017

Editor's Letter

Dear Reader,

I'm literally just off a plane from Rome where I hosted our largest ever BDO international VAT & Customs conference, which was attended by almost 100 BDO colleagues from across the globe.

This was the fourth year that we held a Customs Conference as part of our annual event. It's fantastic to see the ongoing evolution of our international customs expertise because it means BDO is well placed to advise our clients on the likely fallout from the expected exit of the United Kingdom from the EU, as well as new opportunities presented from the recent agreement of the Comprehensive Economic and Trade Agreement (CETA) between the EU and Canada. The timing of CETA is extremely important, as it affords EU countries that are potentially compromised by the UK's impending exit to compete on more favourable terms when making supplies to Canadian-based customers.

It's likely that customs expertise will continue to become more relevant to our clients going forward, as disputes between economic blocs around the world generally result in the threat of higher customs duty rates. So, if this is a concern to you and your business, please reach out to me, or your local BDO contact, so we can point you in the right direction to ensure you get the expert help you may require.

In the meantime, I hope you find our latest edition of BDO Indirect Tax News to be of interest.

Kind regards from sunny Dublin where our evenings are starting to close in a little earlier than we would hope!

Ivor Feerick

Chair - BDO International VAT Centre of Excellence Committee 

Contents

• ROMANIA: The VAT split payment mechanism
• BELGIUM: VAT and the letting of immovable property
• CHILE: New requirements for claiming VAT credits
• GERMANY: What VAT rate is applicable for so called “Wiesnbrezn”
• HUNGARY: Mandatory data disclosure and the use of invoicing programs / Domestic provision regarding late payment interest is not in line with EU law
• IRELAND: VAT treatment of road tolls and update on business concern over Brexit
• ISRAEL: Global trade in goods - New age challenges
• ITALY: Extension of the split payment mechanism
• JAPAN: Update of consumption tax laws
• LATVIA: Changes in the VAT law starting 1 January 2018
• THE NETHERLANDS: To be zero rated or not be zero rated ….. that is the question
• SERBIA: Draft rulebook regarding keeping VAT records and VAT calculation overview published
• SINGAPORE: Taxation of cross-border services and low-value goods
• SPAIN: What to do when the issuer of an incomplete invoice refuses to correct it / Formal requirements contrary to the right of VAT deduction
• SWITZERLAND: Reduction of VAT rates on 1 January 2018 / Requirement for foreign companies operating in Switzerland to register for VAT from 1 January 2018 and changes to low value consignment relief delayed to 2019
• UNITED KINGDOM: UK tightens distance selling rules
• ZIMBABWE: Recent VAT developments in Zimbabwe