2-year delay to ViDA Digital Reporting; TOMS on hold; 2021 e-commerce figures
The EU’s VAT Expert Group (VEG) met at the end of October to review a range of EU VAT reforms and provide feedback for the European Commission. VEG assists and advises the European Commission on VAT matters.
Some of the matters discussed are provided below.
ViDA DDR delays
Agreement has not been reached in time for 2023 agreement on the Digital Reporting Requirements pillar of VAT in the Digital Age. Talks will therefore be continued under the Belgian presidency of the Council in early 2024. This pillar seeks to harmonise digital reporting and e-invoicing in the EU from 2028. It may be that all EU ViDA pillars will be delayed as since the VEG meeting, it has become clear that at least one of the other pillars, Platform Economy, needs further negotiations.
Plans for 2028 EU Customs reforms presented this May were reviewed. The proposals cover three areas:
- A new EU Customs Authority to coordinate policies and procedures amongst member states
- An EU Customs Data Hub with full launch by 2032
- Synchronisation of VAT and customs rules for e-commerce goods imports
Talks on this will continue in 2024.
2021 e-commerce package update
Highlights to figures were presented in relation to the July 2021 e-commerce VAT reforms. These include:
- 2022 €15 billion revenues from 113,800 businesses registered though One Stop-Shop VAT return
- 2022 €5 billion revenues from 10,200 businesses using Import One Stop-Shop VAT return
The plans to bring forward Travel and Tourism Margin Scheme (TOMS) package reforms are now on hold to allow for other projects.