The Chartered Institute of Taxation (CIOT) is warning business that they need to be prepared for more VAT changes than just the return of the VAT rate to 17.5% on New Year’s Day.

According to CIOT, the EU VAT Package, which comes into effect on 1st January 2010, means big changes to rules on the taxation of cross-border services. At present, some services (such as management services) are treated, for tax purposes, as being supplied where the business supplying them is based. But from the new year, virtually all services supplied to a business in another EU member state will be … Continue Reading