The European Commission is working hard to deliver a Cyber Monday-style deal of its own for value added tax (“VAT”) taxpayers trading online; the project is called “Modernising VAT for cross-border e-commerce.”
TMF Group expert, Johannes Laxafoss explains the European Commission's Modernising VAT for cross-border e-commerce project and the main changes expected to make e-commerce traders’ lives easier in respect of VAT.
EU lawmakers realized the burden of the current regimes may be a serious obstacle for entrepreneurs (especially SMEs) looking to expand, and understand that it may prevent them from?gaining access to the single market. In fact, 54 percent of potential online cross-border sellers say dealing with foreign taxation is a key problem for them. The European Commission therefore started work to modernize the VAT regime for e-commerce cross-border traders.
Download the paper?EU VAT Regime Catching Up with E-Commerce to learn more.