International VAT Rate Round Up: October 2022
October 2022 VAT Changes in Belgium
The temporarily reduced VAT rate of 6% relating to the below has been extended to 31 March 2023:
- Natural Gas; and
October 2022 VAT Changes in Finland
A law proposal was presented to parliament at the end of September.
This proposal would:
- Reduce the VAT rate on electricity from 24% to 10% from 1 December 2022 and 30 April 2023; and
- See the VAT exemption of personal transportation taking place in Finland from 1 January 2023 to 30 April 2023. At present, the VAT rate for personal transportation is 10%.
October 2022 VAT Changes in Germany
At the end of September 2022 the Bundestag, the lower house of parliament, approved the draft bill that would see the VAT rate on natural gas temporarily reduced.
At present, the VAT rate is 19% and the draft bill would see the VAT rate for natural gas reduced to 7%.
This reduction in the VAT rate on natural gas is in effect from 1 October 2022 until 31 March 2024.
October 2022 VAT Changes in Luxembourg
Luxembourg has announced a reduction in VAT rates from 1 January 2023:
- Standard VAT rate
- Reduced from 17% to 16%
- Intermediate VAT rate
- Reduced from 14% to 13%
- Reduced VAT rate
- Reduced from 8% to 7%
The super reduced VAT rate of 3% will not change.
October 2022 VAT Changes in Slovenia
The VAT rate has been reduced from 22% to 9.5% from 1 September 2022 31 May 2023 for the following categories:
- Natural Gas;
- District Heating; and
October 2022 VAT Changes in Spain
The VAT rate for natural Gas for domestic use was reduced from 21% to 5% from 22 September 2022 to 31 December 2022.
October 2022 VAT Changes in Sri Lanka
As mentioned in a previous newsletter, the VAT rate in Sri Lanka increased on 1 June 2022 from 8% to 12%.
Sri Lanka has announced another VAT rate increase.
From 1 September 2022, the VAT rate has increased again from 12% to 15%.
International VAT Rate Round Up: September 2022
If you missed last month’s VAT rate announcements of VAT threshold changes, you can catch up now.
Work with real VAT experts
With over 15 years’ experience in the area of VAT compliance and consultancy, we handle all countries and languages where VAT obligations exist. We have a dedicated & centralized team of VAT experts, with a reputation of excellence within all global tax offices ready to speak to you about your VAT obligations.
For over 25 years Taxback International has been a world leader in VAT consultancy and compliance providing expert support to more than 12,000 global clients including Apple, Google, IBM, and Twitter.
With increasing digitalization of global tax processes, we have developed tailored technology solutions to solve challenges facing companies today.
- Comply – End-to-end VAT compliance platform.
- TBI Pay – Streamlined cross-border payments technology.
- VAT Connect – Cloud-based, automated review of transactional data and images via AI and Machine Learning for Domestic and Foreign VAT Reclaim.