TaxTech April 30, 2018
Last week did not bring a lot of updates in Indirect Tax regulations but there was a lot of action going on in the financial world. For starters the Barbados Revenue Authority will start processing 2014 (!) tax refunds and they hope that they can start 2015 tax refunds soon. The Irish government has reached a deal with Apple to collect €13bn of disputed back taxes starting next month, while the Canadian International trade committee urged their government to introduce Digital Tax Nexus Rules. In the UAE’s first quarterly filing deadline was yesterday. Be aware that penalties and interest apply to those failing to comply with the filing and payment deadline. We came upon the Global Tax Department Benchmarking Report, which provide valuable insights for tax leaders around the world. Last week saw James Corden taking full advantage of Christina Aguilera helping him get to work, worth the watch. And with the summer holiday just around the corner we had to share these 25 fantastic travel apps with you. Enjoy!
EU: Amendments to VAT Cooperation Proposals
A number of changes has been requested by the European Parliament’s Committee on Economic and Monetary Affairs to the EU Commission’s proposals for enhanced administrative cooperation in value-added tax matters. More here.
European Supervisory Authorities
The securities, banking and insurance sectors in the European Union (EU) face multiple risks, shows the latest report on risks and vulnerabilities by the Joint Committee of the European Supervisory Authorities. Current vulnerabilities to the EU financial system include Brexit, cyberattacks, how the transition to a lower-carbon economy will affect investments, and valuations and repricing of risk premium, according to the EU. This report details these risks and gives suggestions for mitigation.
United Kingdom: online marketplaces tackling VAT fraud
HMRC wants all online marketplaces operating in the UK to sign an agreement to ensure their sellers understand the tax rules and to help tackle online VAT fraud. The agreement asks online marketplaces to commit to educating online sellers from the UK and abroad about their VAT obligations in the UK either via their own help and support or by directing them to HMRC’s Gov.uk guidance.
European Commission: Introducing new EU company law reforms
The European Commission has announced new company law rules to, on the one hand, make it easier for companies to merge, divide into two or more new entities across borders, or transfer from one member state to another, but, on the other, prevent abusive tax avoidance and profit shifting. More here.
Italy: VAT Group Implementing Regulations
The Italian Ministry of Economics and Finance has published implementing regulations for Italy’s new VAT Group regime. The Decree is the last piece of regulation necessary to effect the VAT Group legislation introduced by Law no. 232 on December 11, 2016. Eligible VAT taxable entities have until November 15, 2018 to file for treatment as a VAT Group in 2019. More here. Italy has also published new rules on mandatory e-invoicing and real time reporting (published in our last aggregation email) which will be effective from 1 July 2018 (as opposed to 1 January 2019) for the supply of fuels and all supplies of goods and services to public bodies.
Q&A – Your VAT reclaim
Many businesses still handle their VAT reclaim process manually, literally sorting through receipts to see which ones they consider worth processing. These wasted man hours, and all the VAT left unclaimed, can add up to a serious loss. If you’re looking for better VAT solutions, we’re here to help. Read on for answers to a few of the questions we hear the most often. Blog post here.