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> In the mean time, I dread having a customer in another EU country due to the damn VAT which requires a separate fiscal/declaratory dance. For what it's worth
by AnssiH 6y ago
> In the mean time, I dread having a customer in another EU country due to the damn VAT which requires a separate fiscal/declaratory dance.
For what it's worth, the EC recognizes that this is a huge issue, and it is discussed in e.g. the 2020 tax package action plan: https://ec.europa.eu/taxation_customs/sites/taxation/files/2020_tax_package_tax_action_plan_en.pdf https://ec.europa.eu/taxation_customs/sites/taxation/files/2...
> However, tax compliance costs remain high in the EU. Particularly, we need to support young
and innovative businesses that struggle more with administrative complexity than big
multinationals. Compliance costs are typically substantially higher for small than for large
companies. Estimated tax compliance costs for large companies amount to about 2% of taxes
paid, while for SMEs the estimate is about 30% of taxes paid. Moreover, the complexity that
arises from the patchwork of 27 different tax systems not only creates loopholes for tax abuse, but
also uncertainty for honest taxpayers that are simply overwhelmed and thus inadvertently do not
comply with the rules.
Whether the actions they've outlined will remedy this remains to be seen, but at least they are trying.
- Lionga 6y agoThey are trying means it will be even worse than before.
- Aerroon 6y agoI find it laughable that they're "trying". They should've had a real solution in place before the entire thing went into effect. It's pretty much inexcusable how had they dropped the ball on VAT changes. It took them years to even introduce a minimum VAT threshold.