The Ministry of Finance initiated amendments to the Law on VAT to allow taxpayers to deduct the input VAT even if the payment for goods or services is deferred, provided that other conditions of deductibility are met. This amendment is expected to become effective on January 1, 2015 and its application will first extend to small businesses but will gradually expand to cover all taxpayers by January 1, 2017. Even before that date the taxpayers will be able to deduct the input VAT if a financial institution (factor) agrees to pay the supplier of goods or services in exchange for the account receivable.

The amendments also provide for elimination of paper VAT invoices and their total replacement by electronic documents.

By | 2014-10-14T16:31:05+00:00 October 14th, 2014|Taxation|Comments Off on Amendments to the Law on VAT

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