Postponement of VAT rate increase: Standard VAT of 22% and reduced VAT rate of 4%, 5% and will continue to prevail the year 2020. The rates are expected to increase from 2021 where the ordinary rate will rise to 25% in 2021 and 26.5% in 2022 and the reduced rate of 10% will be increased to 12%. Reduced rates of 4% and 5% will remain the same.
Amendment on deadline for the submission of “Esterometro”: The deadline for submitting the data regarding the transaction between parties not established in Italy, as per the amendment, shall be submitted on a quarterly basis rather than the current monthly basis submission. Data should be filed by the end of the month following each quarter.
Rules on letters of intent: The taxpayers who purchase gasoline and diesel to be used as motor fuel are no longer considered as a “habitual exporter” (that allows the taxpayers to purchase without applying VAT.
But taxpayers who purchase diesel or gasoline for business purposes from identified suppliers will be allowed the use of the letter of intent.
Habitual exporters will only have to submit the letter of intent to the Italy VAT authority and will no longer need the form to be sent to the customs authority and suppliers.
Extension of reverse charge for contract and subcontract agreement: Reverse charge will be applicable on supply of services as per the contract or subcontract carried out using its own business assets at the customer premises. No reverse charge will be levied if the services are rendered to qualifying employment agencies and public administration.
Place of supply of short-term hiring of pleasure boat: The place of supply of short-term hiring will be considered to be out of EU if not proven otherwise. The current regime applies a fixed percentage based on the length of the boat.
The Tamil Nadu Authority of Advance Ruling (AAR) held that the drilling of borewells for supply of water in agricultural land is not ‘Support Service for agriculture’. The applicant, M/s. Vallalar Borewells provide drilling of
The 2nd Company Law Committee (CLC) report was released on Monday wherein many recommendations suggesting major changes in the Liability Partnerships Act 2008 (LLP Act). The Committee was set up in September, 2019 recategorization of certain