Daily Tax Report: International

Finance Ministers Back EU Rules to Fight VAT Payment Fraud

Nov. 8, 2019, 7:02 PM

Banks and online payment services such as PayPal Inc. and Amazon Payment will have to transfer data about electronic commerce value-added tax payments to European Union tax authorities starting in 2024.

The anti-fraud measure, approved Nov. 8 by EU finance ministers over objections from the financial services industry, is meant to complement VAT e-commerce reporting rules due to begin in 2021.

“In 2018 EU governments lost 5 billion euros alone in revenues due to online VAT fraud,” European Taxation Commissioner Pierre Moscovici said during ministers’ debate. “With the new EU electronic...

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