07.07.22

Draft bill to implement EU VAT legislation

Slovakia is involved in a draft consultation for the implementation of EU legislation on the VAT Act, with reference to Draft Bill No. 309/2022. This is due to come into effect on 1^st January 2023.

This as a recurring trend across Europe, where countries adopt EU legislation into their own Directives. This adoption offers advantages- offering greater standardisation and consistency with the EU VAT principles and regulations and aligning policies with other EU countries which have enacted similar legislation into their own domestic laws.

The public consultation covers the following:

• Change the VAT registration threshold to EUR 49,790.
• Regulate processes for VAT registration exemptions and cancellations
• Exempt VAT for EU-purchased or imported goods and services if made accessible free of charge
• Revise the VAT deduction requirement regulations for non-payment of VAT
• VAT requirements for refund
• Payment service providers’ recordkeeping duties for cross-border payments.

Feedback for the consultation is requested by 20 June 2022.