Uruguay extends reduced VAT for tourism until April 2025
Uruguay’s Ministry of Economy and Finance has extended the 9% VAT reduction for certain tourism operations until 30 April 2025, provided that the payment is made using electronic payment methods such as credit cards, debit cards or e-money payment
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Thailand extends reduced VAT rate until 2025
Thailand’s Cabinet approved a resolution extending the reduced 7% VAT rate on imports, sale of goods, and provisions of services until 30 September 2025. The extension pushes the previous end date from 30 September 2024. The announcement was
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Slovak Republic approves draft bill with tax measures
The Slovak Republic government approved a draft legislation on 18 September 2024 amending various tax measures to consolidate the country's public finances. Taxation of high-income groups: The main changes include increased special levies for
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Nigeria proposes VAT rate hike, reduction of VAT on essentials
Taiwo Oyedele, the Chairman of the Presidential Fiscal Policy and Tax Reforms Committee stated on 5 September 2024 that the committee proposes the elimination or reduction of VAT on essential items like food, housing, and public
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Denmark launches consultation on zero VAT rate for domestic air travel
The Danish government has commenced a consultation on a draft legislation that includes amendments to the VAT Act and other related changes. A key amendment is the introduction of VAT zero-rating for domestic air travel services in Denmark. The
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Poland: Finance ministry proposes VAT changes
The Polish Ministry of Finance has reportedly suggested several amendments to the VAT Act. The main proposed amendments are as follows: Apply a zero VAT rate to non-seagoing rescue vessels and lifeboats used at sea; Maintain 8% VAT for
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Switzerland approves VAT reform with key changes from 2025
The Federal Council of Switzerland has approved VAT reform, effective 1 January 2025. The reforms introduce several key changes, which are as follows: A new voluntary balance and flat-rate tax method to simplify compliance for VAT flat rate
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Philippines backs 12% VAT on foreign digital service providers
The Philippines’ Ministry of Finance announced that Finance Secretary Ralph Recto had met with senior Netflix officials on 20 August 2024, to discuss the bill on value-added tax for foreign digital service providers, which is currently pending
See MoreSwitzerland raises VAT to support extra pension payments
Switzerland’s Federal Department of Home Affairs, in a release on 14 August 2024, clarified the consultation on the implementation and financing of the 13th AHV pension at its meeting on 14 August 2024. The consultation was held regarding securing
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Tax Authority Approach to Business Fragmentation: Lessons from a Recent Russian Case
Traditionally, countries like Russia, Kazakhstan, and others in their vicinity have created highly advantageous conditions for small businesses by setting a substantially high ceiling for qualifying for reduced tax rates. For instance, in Russia, a
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Finland initiates consultation on VAT rate hike proposal
Finland's Ministry of Finance has initiated a public consultation on a proposed draft bill which suggests increasing the VAT rate on certain commodities from 10% to 14%. The consultation is set to conclude on 19 August, 2024. The draft bill
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Cyprus extends 0% VAT on essential products
The Cyprus Tax Department announced an additional extension of the temporary 0% VAT rate on essential products, including meats and vegetables, until 30 September 2024. The zero VAT rate on essential goods includes all types of bread (whether
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Vietnam extends 2% VAT reduction on specific goods and services until end of 2024
The Vietnamese government issued Decree No. 72/2024/ND-CP on 30 June 2024, which mandates an additional reduction in the VAT rate from 10% to 8% for various goods and services in the second half of 2024. Effective from 1 July 2024, the government
See MoreFinland issues guidance for increased VAT starting September 2024
Finland’s tax authority has released guidance clarifying the increase in the standard VAT rate from 24% to 25.5% on 17 July, 2024. The VAT hike has received parliamentary approval and is currently awaiting final confirmation. The revised rates
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Spain extends VAT cuts on essential food products
Spain’s Ministry of Finance announced in a release on Tuesday, 25 June 2024, that the Spanish Council of Ministers approved a Royal Decree-Law which extends the VAT rate reduction for basic food Items. The reduced rates were initially set to
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Armenia to double turnover tax, introduce expense-based credit
Armenia’s parliament is reviewing proposed legislation to modify the turnover tax regime, which mainly includes doubling tax rates across various sectors. This includes doubling the tax rates for trade from 5% to 10%, manufacturing from 3.5% to
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Slovak Republic: Parliament dismisses fuel tax cut and depreciation options
On 18 June, 2024, the Slovak parliament rejected two proposed laws to temporarily reduce VAT and excise duty rates on gasoline and diesel from 1 July, 2024 to 31 December, 2025. Previously on 17 April, 2024, the Slovak parliament proposed a VAT
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Bangladesh to raise cigarette prices with higher taxes in budget for 2024-25 fiscal year
Cigarette prices are set to go up following an increase in supplementary duty and value-added tax (VAT) announced in Bangladesh's national budget for the 2024-25 fiscal year, which was presented today, 6 June, 2024, at the National
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