The article examines the OECD’s Digital Continuous Transactional Reporting (DCTR) framework, highlighting its role as a strategic blueprint for Tax Administration 3.0. It discusses the shift from manual reporting to real‑time digital compliance, the two primary DCTR models, interoperability challenges, SME protection measures, and the importance of data minimization for trust and security.
The article outlines a High Intervention (Clearance/Invoice Model) and an Organic Flow (Reporting/Data Subset Model) as the two primary DCTR approaches.
The Five‑Corner Model involves the Seller, Buyer, two Service Providers, and the Tax Authority to enable interoperable, ‘Connect Once, Comply Everywhere’ real‑time reporting.
Suggested measures include free government portals, limited data requirements that use standard accounting fields, and gradual, tiered phasing based on turnover thresholds.
The principle of Data Minimization is highlighted, collecting only what is strictly necessary to verify tax liability to reduce cyber‑attack risk and build trust.
DCTR is positioned as a catalyst for digital transformation, improving economic forecasting, speeding VAT refunds, and reducing the shadow economy.
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LinkedIn Article by Jeyhun Mammadov · 31 minutes ago
The article explains the EU VAT Directive’s call‑off stock simplification, which exempts the transfer of goods between Member States from VAT when a single, predetermined customer is known. It contrasts this with consignment stock, which triggers a deemed intra‑Community supply and requires VAT registration in the destination country. Practical compliance requirements such as maintaining stock registers, submitting EC Sales List reports, and potential Intrastat reporting are also outlined.
European Parliament · 3 days ago
This briefing examines how EU legislation shapes Member States’ ability to set VAT rates, highlighting the legal uncertainty and administrative complexity arising from multiple preferential rates. It calls for regular reviews to assess the necessity and effectiveness of these rates amid high budget deficits and competing spending priorities.
TPA Global · 3 days ago
The European Commission’s ViDA initiative introduces a common EU digital reporting standard, mandatory e‑invoicing for intra‑EU B2B transactions, and expands the OSS/IOSS to cover more B2C supplies. It also imposes platform‑operator deemed‑supplier rules for accommodation and transport services. The phased rollout runs from 2025 to 2035, requiring businesses to modernise their tax technology and processes.
LinkedIn Article by Vincent Lebrun · 3 days ago
The ViDA package represents a sweeping overhaul of the EU VAT system, aiming to curb fraud, simplify SME compliance, and create a fairer digital marketplace. It introduces mandatory e‑invoicing and near real‑time digital reporting for intra‑EU transactions, expands the Single VAT Registration and Import One‑Stop Shop, and projects up to €18 billion in annual revenue gains and €5.1 billion in compliance cost reductions by 2030.
Meridian Global Services · 3 days ago
The article explains the conditions under which a B2B intra‑community supply of goods can be zero‑rated in the EU. It outlines the required documentation, reporting obligations, and the consequences of non‑compliance.
LinkedIn · 4 days ago
Advocate General Kokott’s Opinion C‑603/24 clarifies how intra‑group transfer price adjustments interact with VAT. The opinion states that such adjustments are not automatically a separate VAT supply, but may alter the taxable amount under Articles 73 and 90 of the VAT Directive if they reflect a variable purchase price agreed upfront. Only when an actual service for consideration exists is a separate supply considered.
