The Slovak Republic is overhauling its VAT rules to ease compliance for cross-border traders and establish fairer terms between traditional service providers and digital platforms. The draft reform, unveiled on 27 May 2026, extends single-registration privileges, eliminates double taxation on business asset transfers within the EU, and tightens anti-fraud controls.
The Slovak Republic’s Ministry of Finance announced that it is advancing a modernised VAT framework designed to streamline compliance, level the competitive playing field between traditional and digital service providers, and strengthen anti-fraud safeguards. The draft amendment, submitted for interdepartmental review on 27 May 2026, addresses gaps exposed by the growth of platform-based commerce and cross-border digital trade.
Simplified registration and administrative relief
The centrepiece of the reform extends the single-registration scheme across new categories of intra-EU supplies. Rather than navigating separate VAT registrations in each Member State where they operate, businesses can now manage most compliance obligations through a one-stop shop in their home jurisdiction. The change cuts bureaucratic friction, particularly for smaller and medium-sized enterprises engaged in cross-border sales.
Levelling the digital services playing field
The new rules also bring fairer conditions in the field of digital platforms. In the case of short-term accommodation or personal transport, it currently happens that traditional providers of these services (e.g. taxi services) are VAT payers, while if similar services are provided via digital platforms, VAT is generally not paid, since the driver is not a VAT payer and the digital platform only mediates the ride. The new system will be set up more fairly, so that the rules are comparable for all market participants. The same rules for everyone should support fair competition and respond to the growing importance of the platform economy.
Movement of business assets across borders
The proposed amendment also introduces changes affecting the movement of entrepreneurs’ own goods between EU Member States. A special scheme will allow businesses to reduce administrative and financial burdens by avoiding VAT registration and the payment of acquisition tax in the destination Member State. Administrative obligations can instead be fulfilled through the one-stop shop system. At the same time, the new rules for electronic invoicing are simplified by removing the obligation to report data from received invoices to domestic customers during the transitional period.
E-invoicing and digital reporting requirements (DRR)
The draft proposes suspending the obligation for domestic buyers to report data from received e-invoices during an interim period from 1 January 2027 to 1 July 2030.
Strengthened compliance and fraud prevention
The amendment includes measures to strengthen the fight against VAT fraud and abuse of the system. The Ministry of Finance is responding to long-term experience showing that some entities misuse VAT registration for speculative or fraudulent purposes. It therefore clarifies and expands the grounds on which tax authorities may cancel VAT registration where there are serious doubts about compliance with tax obligations.
The changes are also intended to help tax authorities identify risky behaviour more quickly and respond more effectively to emerging forms of fraud, including in digital and cross-border contexts, with an emphasis on prevention, stronger controls, and greater tax system stability.
The overhaul signals the Ministry’s commitment to building a tax regime that is both predictable and resilient.
