Finland – Supreme Administrative Court decision on the VAT treatment of non-printed books after ECJ decision (K Oy – C-219/13)

PwC_Teetasse_EN2015 seems to start with book related VAT news in the EU. After the ECJ’s judgment in the K Oy case (C-219/13), the Finnish Supreme Administrative Court (“SAC”) delivered its ruling at the end of December. Read More »

Italy: reduced VAT rate of 4% on e-books from 1 January 2015

PwC_R_Vinesh.Naidoo_Yoginee.Sharma_Vernie.Slabert_SouthAfrica_Jhb_P_CW_0017.JPGThe Italian Parliament passed the 2015 Finance Law on 22 December, which applies the 4% VAT rate to e-books as of 1 January 2015. According to the legislation any publication that is identified by an ISBN code (International Standard Book Number) and transmitted through any physical or electronic means, should be considered as a book and, as a result, subject to the 4% reduced VAT rate.Read More »

Czech Republic – Third VAT Rate as of January 2015

Photo_RGB_PC_48238.jpgPeople walking near parked cars on a street - PwCAs of January 2015, the Czech Republic plans to introduce a third VAT rate of 10% in addition to the existing standard VAT rate of 21% and the reduced rate of 15%. The new VAT rate will apply to drugs, books and baby food.

For further details please click here

Portugal: Proposed VAT rate increase from 1 January 2015

Portugal considers increasing the standard VAT rate by 0.25%, to 23.25%.

The increase would result in the following standard VAT rate changes with regards to the three different regions: from 23% to 23.25% on the Portuguese mainland, from 22% to 22.25% in Madeira and from 18% to 18.25% in Azores.

For further information please feel free to contact:

Susana Claro
Phone:  +351 213 599 648

Susana Caetano
Senior Manager
Phone: +351 213599674

Malaysia – introduction of GST on 1 of April 2015 at the rate of 6%

The Malaysian Prime Minister has announced that GST will be implemented in Malaysia on 1 April 2015 at the rate of 6% in his budget speech. The threshold for mandatory registration will be RM 500,000.

Income Tax rate will be reduced between 1 % to 3 %, effective from assessment year 2015.  Corporate Tax rate will be reduced by 1% from 25% to 24% (SME rate from 20% to 19%) effective from assessment year 2016.Read More »

France – VAT rate changes as per 1 of January 2014

The French tax authorities have reconfirmed in the recent Finance Bill that the VAT rate changes will take effect on 1 January 2014. The standard rate will increase from 19.6% to 20%. The intermediate rate will be increased from 7% to 10%. This rate will apply to various goods and services including restaurants and meals for immediate consumption, passenger transport, hotel accommodation, pharmaceutical products not reimbursed by social security and transfers of copyrights. Read More »

Montenegro – VAT rate increase to 19%

Montenegro’s Parliament agreed to the increase of the VAT rate from 17% to 19%. This change will take place as from 1 July 2013.

Slovenia – increase of the VAT rate as per 1 of July 2013

The Slovene Parliament has approved an increase of the VAT rate as from 1 of July 2013. The standard VAT rate will increase from 20% to 22% and the reduced rate will increase from 8.5% to 9.5%. The approval of the National Council is still pending, but is expected in June.

Commission publishes summary of reduced rates consultation

The European Commission has published a summary report on its public consultation with regards to reduced VAT rates. One of the most critical issues seems to be the current application of reduced VAT rates to e-books in some Member States, compared to number of other Member States that apply standard rates. This different VAT treatment results in distortion of competition between Member States. Read More »

Luxembourg – increase of VAT rate as from 2015

The Prime Minister announced in his speech on 10 of April 2013 that Luxembourg intends to increase the current standard VAT rate of 15% as from 2015. Which means no increase of VAT this and next calendar year. It was also indicated that the standard VAT rate would remain the lowest in Europe. This would mean that the rate might increase from 15% to 18% at most, as Cyprus and Malta currently have the second lowest VAT rate within the EU of 18%.