BACKGROUND INFORMATION

Cross Border Transactions and International Trade often give rise to new situations/scenarios wherein a differentiating factor may trigger a change in the VAT treatment adopted in similar past transactions. In this respect it often happens that one is not fully aware as to which is the correct VAT Treatment to be adopted in such situations, keeping in mind also the VAT treatment being adopted by the involved parties in other countries and EU Member states.

OBJECTIVES OF THE SESSION

The scope of the session is to first give an overview of the main types of cross border transactions that may exist (Part 1 - ICS/ICAs/Triangulation, Imports/Exports, Distance Sales, Part 2 - EU cross border supplies of services including tele-communications, Broadcasting and Electronically Supplied Services, Non-EU Supplies of Services etc.) and their respective VAT treatment. We will also identify the questions which need to be answered, which criteria need to be satisfied, and the procedure which needs to be adopted in each case in order to arrive at the appropriate VAT Treatment. We will also discuss the concept of Reverse Charge Mechanism and how it is to be applied and also how such cross border transactions are to be declared in the local VAT Forms (VAT Returns, Recapitulative Statements, Intrastat Forms, Forms 04 etc.)