Starting January 1, 2025, the Netherlands will resume payment default fines for VAT e-commerce, following the resolution of initial compliance issues within the Member State of Consumption (MSCON) process.
The Netherlands to Reinstate VAT Payment Default Fines and Implement New E-Commerce Regulations from January 2025
Public
Other countries
Author: Ivana Picajkić
Category:
General subject related
Views:
198
Content accuracy validation date:
30.12.2024
Content accuracy validation time:
08:36h
The recent announcement by the State Secretary outlines significant changes regarding VAT e-commerce regulations in the Netherlands, effective January 1, 2025.
After a temporary waiver, payment default fines for VAT e-commerce will be reinstated on January 1, 2025. This decision follows the resolution of initial startup issues within the Member State of Consumption (MSCON) process that had previously complicated compliance for entrepreneurs. The Tax and Customs Administration (DTA) had suspended these fines due to confusion over payment terms and obligations, but now that clarity has been established, fines will be imposed again to ensure adherence to VAT regulations.
The imposition of payment default fines will be resumed as of 1 January 2025. First of all, the temporary policy decision not to impose fines expires on 31 December 2024. The aforementioned (start-up) problems within the MSCON process have now been resolved or are manageable. Defaults can now be processed half automatically. Companies also now have sufficient clarity about the scheme. Finally, not imposing fines – in deviation from legislation and regulations – also has budgetary consequences.
These changes aim to streamline VAT compliance for small businesses operating across borders within the EU while ensuring that tax obligations are met effectively.
Other news from Other countries
India to Launch B2C E-Invoicing Pilot, Full Rollout Expected by 2026-27
Public
Other countries
Author: Ivana Picajkić
Other countries
Author: Ivana Picajkić
The GST Council has announced plans to introduce B2C e-invoicing in India, starting with a voluntary pilot in 2024-25, followed by gradual expansion and mandatory implementation by 2026-27 if successful. Similar to the B2B system, businesses will generate and upload invoices to the Invoice Registration Portal (IRP) for validation, ensuring tax compliance and fraud prevention. While B2C e-invoicing... Read more
China's VAT Law: Main Changes & Implications for Tax Professionals
Public
Other countries
Author: Ivana Picajkić
Other countries
Author: Ivana Picajkić
China’s VAT regulations, in place for 31 years, will be replaced by a new VAT Law on January 1, 2026, marking a significant shift in the country’s tax system. On December 25, 2024, China’s legislature passed the Value-Added Tax Law, replacing the Interim VAT Regulations. The State Council is expected to issue Implementing Regulations to provide further guidance. The new VAT law aims to improve tax... Read more
Singapore to Begin Phased Rollout of E-Invoice Reporting via InvoiceNow in May 2025
Public
Other countries
Author: Ivana Picajkić
Other countries
Author: Ivana Picajkić
The Inland Revenue Authority of Singapore (IRAS) has announced a phased voluntary rollout of e-invoice data reporting via the InvoiceNow network. Starting May 1, 2025, GST-registered businesses can adopt it voluntarily. Newly incorporated companies will follow on November 1, 2025, and all new voluntary GST registrants on April 1, 2026. Built on the Peppol network, InvoiceNow allows businesses to e... Read more
The Netherlands Welcomes Real-Time Taxation: A Game-Changer for VAT Payments
Public
Other countries
Author: Ivana Picajkić
Other countries
Author: Ivana Picajkić
The Dutch Tax Authorities are exploring real-time taxation, where VAT is automatically calculated and transferred at the moment of payment, eliminating the need for quarterly filings. This system aims to reduce administrative burdens for businesses and improve tax compliance by enabling more efficient audits. Described as the "holy grail of taxation," it is currently under further study for potent... Read more
The Netherlands: VAT on Accommodation Set to Rise from 9% to 21% Starting January 2026
Public
Other countries
Author: Ivana Picajkić
Other countries
Author: Ivana Picajkić
Starting January 1, 2026, the VAT rate on accommodation will increase from 9% to 21%, affecting both new and existing group accommodation contracts. This change, confirmed by the State Secretary of Finance, is part of the 2025 Tax Plan and will apply to payments made in 2025 for services provided in 2026. The government has stated that it cannot exempt group accommodations from this increase due t... Read more
Reminder: Indonesia Implemented New VAT Regulations with 12% Rate Effective January 1, 2025
Public
Other countries
Author: Ivana Picajkić
Other countries
Author: Ivana Picajkić
On December 31, 2024, the Indonesian Minister of Finance issued Regulation No. 131 of 2024 (PMK-131), which establishes a 12% value-added tax (VAT) effective January 1, 2025, applying to both luxury and non-luxury goods. The regulation outlines the calculation of the tax base, including a transition period allowing for an alternative tax base for deliveries to end consumers until January 31, 2025.... Read more
The Netherlands: VAT Fines for E-Commerce Set to Resume; Businesses Must Adhere to Compliance to Avoid Penalties
Public
Other countries
Author: Ivana Picajkić
Other countries
Author: Ivana Picajkić
The Dutch government has announced that administrative fines for non-payment or late payment of VAT on e-commerce transactions will resume on January 1, 2025, following a temporary waiver that began with the implementation of the EU’s 2021 e-commerce VAT reforms. This decision comes after addressing initial compliance challenges and aims to reinforce adherence to the One Stop Shop (OSS) VAT report... Read more