We’re hearing a lot of chatter about changing VAT rates around the globe. Here are a few items that we’ve been talking about behind the scenes.
Reports are emerging from Italy that the planned 2% VAT increase in October may be reduced to a 1% VAT rise - taking the standard Italian VAT rate to 22%
The recent presidential election in France resulted in the election of François Hollande, the candidate of the Socialist Party. One effects of this change is that the French VAT rise (originally planned in october) has been cancelled.
Please note that Latvian government decreased standard VAT from 22% to 21% in order to come in line with other Baltic States (21% in Lithuania and 20% in Estonia). The reduced VAT rate of 12% still remains unchanged.
During July there will be come big updates in EU. We’re working on HTS changes then a review of all European excise taxes. Excise changes confirmed in Romania. Other changes are to be confirmed later.