Trading in emission reductions for the purposes of the greenhouse gas reduction quota (GHG quota) has grown significantly in importance as a result of a change in the law with effect from 2022. However, the tax authorities have so far only selectively commented on the VAT treatment of the supplies of services generated by the various participants in GHG quota trading. All parties involved have significant pitfalls to take into account and should examine their relationships and VAT treatments with respect to possible risks.
Specific due diligence and reporting obligations for digital platform operators (DAC7) shall come into force on 1 January 2023. On 12 July 2022, the Federal Ministry of Finance presented a respective draft bill. Affected platform operators are now challenged to adapt their previous practice of recording to the new requirements by the end of the year.
Under the banner of combating VAT fraud, numerous Member States are currently racing to introduce mandatory e-invoicing systems. Also In Germany, the coalition parties favour combating VAT fraud by means of e-invoicing as evidenced in the 2021 coalition agreement. The EU Commission is also currently preparing draft legislation under the heading "VAT in the Digital Age” concerning, among other things, electronic reporting obligations by means of e-invoices at EU level. Our latest Newsletter presents you with a summary of the pre-existing or announced e-invoicing obligations for businesses in selected countries.