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EU VAT Compliance : VIDA reforms getting postponed until 2030

According to the latest proposal of ECON (the EU Parliament’s Committee on Economic and Monetary Affairs), such as voted and approved last week, the ambitoius European reforms’ package VAT In the Digital Age is likely to be delayed until 2030.

As a reminder, VIDA is deemed to reduce the VAT gap within the EU and to simplify the VAT compliance for the EU businesses.

The reform is composed of 3 Pillars :

  1. Digital Reporting Requirements & E-Invoicing for IC-transactions

2. Digital Platform Economy with the extended deemed suppliers’ obligations for travel & accommodation platforms

3. Single VAT registration with an extension of the OSS and the generalisation of the local reverse charge mechanism

The Pillar I was hard to get implemented in 2028, as it was requiring from the Tax authorities of all the EU member states to develop some technical and administrative tools. The unreadiness for such major changes was also noticed upon the implementation of the local e-invoicing and e-reporting reforms in the concerned countries having encountered many difficulties and delays. The French e-invoicing, for example, had finally to be postponed from 2024 until 2026.

The Pillars 2 and 3 could still come true in 2025 depending on the upcoming vote of the EU Finance Ministers and based on the progress reached by the stakeholders.

It’s important to notice that the concrete measures of the VIDA Pillars present some changes compared to the initial proposal and they could still be subject to further developments and modifications until their final vote & implementation.

BtoBnice will keep you updated on the main requirements to be anticipated in your business organisation.

In the meantime, feel free to contact us for your actual VAT registration & VAT compliance needs:

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