The European Council (EC) adopted rules facilitating the detection of VAT fraud for Payment Services Providers. This is for cross-border e-commerce transactions and applies from January 2024.
As noted in our story from 6 January 2020, the new measures include amendments to the VAT Directive. They requires Payment Services Providers to keep records of VAT and cross-border e-commerce payments.
Furthermore, the EC also adopted amendments to a regulation on administrative cooperation in the area of VAT. This allows local tax authorities to collect and then share this data with a centralised electronic system of payment information.
Eurofisc officers analyse this system to determine if there is VAT fraud.
For further information or help on VAT related matters, contact one of our Experts.