The VAT Quick Fixes legislation was pending approval by national parliament since February this year. After a Covid-19 related hiatus the legislation has now entered into force, covering:
- VAT exemption of Intra-Community chain transactions, with introduction of criteria to allocate the key dispatch or transport operation in the chain of transactions;
- Simplification of intra-community call-of stock arrangements, allowing for the non-register of suppliers benefiting from such arrangements;
- Role of the recipient’s VAT identification number to exempt Intra-Community supplies from VAT.
Entry into force backdated to 1 January 2020
One of the curious facets of the legislation is the entry into force backdated to 1 January 2020. Taxpayers are given the possibility to file amendment returns (e.g.: recapitulative statements) up to 31 December 2020 to meet the “new” obligations.
Check the law
You can check DL 49/2020 of 24 August (PT version) in this link.