(December 20, 2014)
On December 19, 2014 the UK Government on its website GOV.Uk published a guidance titled: “VAT: businesses supplying digital services to private consumers”. According to the news release to which the guidance is attached, the guidance is intended for businesses that make cross-border supplies of digital services to consumers in other EU member states.
The Guidance discusses the following topics:
- EU VAT rule change;
- Scope of rule change;
- Determining the place of supply and taxation;
- Defining digital services
- Radio and television broadcasting services;
- Telecommunications services;
- Electronically supplied services;
- Sales not affected by the change;
- Defining ‘electronically supplied’;
- Bundled or multiple supplies;
- Determining whether the customer is in business (a taxable person) or is a private consumer;
- Determining the place of supply and taxation
- Place of supply ‘presumptions’;
- Circumstances where the presumptions don’t apply;
- Businesses using payment service providers;
- Place of supply of educational services
- Services provided by a person;
- Services provided through automated learning;
- Educational examination services;
- VAT rates and obligations in other EU member states (EU VAT Web Portal);
- VAT accounting options for businesses supplying digital services to consumers;
- Digital portals, platforms, gateways and marketplaces.
The guidance as published on the website of the UK Government can be found here. The website GOV.UK will open in a new window.
Copyright – internationaltaxplaza.info