As of 1 August 2017 Greece is the latest EU Member State to use the extended reverse charge in a bid to tackle tax evasion in the electronics sector.
The measure is aimed at transactions that involve the domestic supply of laptops, tablet PC’s, mobile phones and game consoles.
Based on this new provision the liability to account for VAT in relation to such supplies will be borne with the buyer of the goods, who will account for both input and output tax.
Therefore, invoices issued in relation to the above will be free of VAT, but the supplier will retain his right to deduct any input VAT incurred in relation to the sale of those goods.
Additional guidelines on how the legislation will be implemented are expected as well as guidance on how to report the supplies.