The standard German VAT rate has been temporarily lowered from 19% to 16% between 1 July and 31 December 2020 to help businesses and consumers during the coronavirus pandemic. The reduced VAT rate has also been cut from 7% to 5%. The German Finance Ministry
Saudi Arabia has increased its standard VAT rate from 5% to 15% from 1 July 2020. The aim is to sure up government revenues as the COVID-19 crisis has led to a fall in global oil prices and oil duties for the Arab Gulf state.
The city state of Singapore is looking at routes to reduce Goods and Services Tax (GST) fraud. In particular, missing trader fraud which involves sellers dishonestly reporting sales as GST-exempt exports when they actually sell the goods locally and pocket the GST charged. The measures
Malaysia introduced a Digital Services Tax from 1 January 2020. This is a turnover tax on foreign entities selling various electronic taxes into Malaysia. The rate is 6%. Malaysia withdrew its short-lived 6% Goods and Services Tax in June 2018 when it reintroduced its sales and
COVID-19 forces tax support for key sectors Bulgaria is to reassign a range of supplies from the standard VAT rate of 20% to the reduced VAT rate of 9%. This will apply between 1 July 2020 and 31 December 2021. The tax break is designed
A new penalty regime comes into force in the Mediterranean island of Cyprus on 20 August 2020. This will be as follows for any VAT registered taxpayer whether resident or non-resident: €100 fixed fine for missing the filing deadline of a VAT return. Quarterly returns
Italy is delaying the implementation of its marketplace reporting obligations in anticipation of the upcoming 2021 EU VAT e-commerce reforms on 1 July 2021. However, it is instead planning on introducing a new, detailed transactional reporting for the marketplaces to submit of distance selling on
The Czech Republic (Czechia) has recast its reduced VAT rates again from 1 May 2020. This mostly includes reclassifying many goods from 15% to the second reduced rate of 10%. The standard Value Added Tax rate is 21%. The cuts will apply until 16 August
COVID-19 forces General Consumer Tax subsidy In its 2020/21 budget, the Caribbean Island of Jamaica has reduced its standard General consumption tax (its Value Added Tax) rate from 16.5% to 15%. This will tax effect from 1 April 2020. The GCT cut is aimed at
Mexico has introduced Value Added Tax on foreign providers of digital or electronic services from 1 June 2020. There is no VAT registration threshold, and non-residents must appoint a local tax agent. In addition to providers of electronic services, Mexico also makes provision for withholding
