The European Commission proposes to update EU VAT rules to ensure the uniform tax treatment of all types of vouchers across all Member States. The proposal includes provisions on defining vouchers for VAT purposes and identifying when VAT is due on vouchers. It also includes rules for vouchers passing through distribution chains and general means of payment.

This will have a positive effect on businesses. It will also help to close loopholes which facilitate tax avoidance by certain companies. The new rules also fit well in the broader strategy of the Digital Agenda Europe, especially its objective to create a digital single market. The new rules will enter into force on 1 January 2015.

More information:
http://ec.europa.eu/taxation_customs/taxation/vat/key_documents/legislation_proposed/index_en.htm