Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration


13 January 2015 / Alex Millar , Mike Thexton
Issue: 4484 / Categories: Comment & Analysis , Europe , International , VAT

New rules aimed at digital businesses will lead to needless complication


  • From 1 January 2015 VAT is due in the member state of consumption rather than of supply.
  • Businesses that wish to use the mini-one stop shop must be registered for VAT.
  • Revenue and Customs Brief 46/2014 offers some relaxation of the rules.
  • Businesses selling to consumers will need evidence to support the consumer’s location.
  • The distance selling rules would have provided a simpler solution.

Welcome to the brave new world of VAT on digital services. A major change has taken place across the EU in the way VAT is accounted for on sales of digital services such as apps e-books and music downloads to consumers.

VAT being a tax on consumption a decree went out from the European Commission that from...

If you or your firm subscribes to, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or '' for further assistance.

back to top icon