Breaking News:

Romania increases VAT 5% to 24%

Following the failure to pass austerity changes to the national pension scheme on Friday, the Romanian government has chosen to raise the standard VAT rate from 19% to 24%. This will be effective from 1 July. The move was seen as vital to unlock the next round of emergency funding from the IMF, which is visiting Bucharest this coming week to authorise the latest draw down.

UK VAT increase by 2,5% to 20%

The new UK government today announced an increase in UK VAT from 17.5% to 20% from 4th January 2011.It comes as part of the new Conservative government's Emergency Budget, which included a range of tax increases and spending cuts aimed at controlling the ballooning state deficit. This has reached over GBP 150 billion in the last tax year.

Greece in second 2% VAT increase to 23%

As part of state budget bailout discussions with the ECB and the IMF, Greece has agreed to increase its VAT rate for a second time. The new standard rate will be 23%. Implementation date is expected to be 1st July 2010.

• Portugal increase VAT rate by 1% to 21%
• Canada Retail sales tax in Quebec is to rise in 2012 to 9.5%
• Gulf VAT implementation may be delayed till 2013
• Malaysia GST implementation delayed till after 2011
• Cyprus avoids VAT increase but levies 5% on pharmaceuticals and certain foodstuffs
• UK VAT registration threshold increases to £70,000 per annum
• Germany new legal action procedures on late VAT payments
• Philippines VAT increase from 12% to 15% planned
• Greece VAT amnesty until end of May
• Indonesia luxury goods VAT rate introduced
• Nigeria speculation of VAT increase to 10%

Kind regards

TEAM Inter-Distrans