Internal recharges for supplies made between entities within the same group could become subject to VAT for the first time under EU law if member states adopt guidelines put forward by the OECD. The proposal may make the need for a specific anti-abuse measure less necessary.
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The new guidance is not meant to reflect a substantial change to UK law, but the requirement that tax advice is ‘likely to be correct’ imposes unrealistic expectations
China and a clutch of EU nations have voiced dissent after Estonia shot down the US side-by-side deal; in other news, HMRC has awarded companies contracts to help close the tax gap