Planned package of changes in VAT regulations

VAT in the Digital Age is an EU package of changes to VAT that is to come into force in the coming years. The most important changes currently planned as part of the package are the introduction of mandatory e-invoicing in intra-Community transactions and the limitation of the obligation to have separate VAT registration in various countries of the European Community.

KSeF postponement

The planned package of changes is intended to be a response to the changes taking place in recent years in the field of new technologies and the digitalization of all tax and non-tax solutions. The introduction of new solutions at the EU level will cover all EU Member States as part of the effort to standardize VAT within the European community.

Current plans assume, first of all, the introduction of mandatory e-invoicing in real time in a structured form (similar to KSeF) for all taxpayers who make intra-Community transactions. Changes in this area are planned only for 2028.

A little earlier, for 2025, changes in VAT registration are planned in accordance with the concept of single VAT registration. The main point is to limit the obligation to have VAT registration in various EU countries by extending the specific OSS procedure.

The new ideas also include changes to the obligations for digital platforms, including a broader VAT obligation for platforms to facilitate transactions in short-term accommodation and passenger transport services.

The introduction of new solutions as part of the Vat in the Digital Age package may partially coincide with the introduction of the National e-Invoice System. Too many new responsibilities appearing in quick succession will certainly not make entrepreneurs happy. However, the schedule of changes introduced may still change.

Author:

Dr Artur Oleś

Attorney, Tax Advisor, EMBA

Advocate, Tax Advisor, Doctor of Juridical Science. He specializes in issues related to tax optimizations, mergers and acquisitions, as well as criminal and fiscal penal law. Author of scientific publications devoted to, among others. tax ordinance, VAT and income earned through incentive plans in the form of shares and stock options. He has extensive experience and knowledge of law and taxation.

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