The Danish National Tax Court confirmed that extraordinary VAT reassessment is permissible when gross negligence is proven. In a case involving a Danish airline, the court upheld the tax authorities’ findings that the company used incorrect input VAT deduction percentages, failed mandatory year‑end adjustments, and understated its liability. The decision clarifies that repeated errors and prohibited energy‑tax deductions justify extraordinary reassessment.

The article outlines e-invoicing considerations for businesses operating in Luxembourg and across the EU. It highlights the regulatory landscape and compliance requirements that companies need to address when implementing electronic invoicing solutions.

Brazil’s 2026‑2032 VAT reform introduces a targeted “Cashback” mechanism that refunds part of the new CBS and IBS taxes to low‑income families. The scheme will reimburse 100% of CBS and 20% of IBS on essential utilities (draft figures) and is expected to start in 2027 with a phased rollout. Refunds will be transferred electronically to families’ bank accounts linked to their CPF.

The UK government will introduce a new electric vehicle excise duty (eVED) from April 2028, charging 3p per mile for electric cars and 1.5p per mile for plug‑in hybrids. The levy will be administered by the DVLA and integrated into the existing VED system, with a consultation deadline of 18 March 2026.

The ViDA directive amends Article 217 of the EU VAT Directive, requiring electronic invoices to be issued, transmitted, and received in structured formats such as XML, EDI, or Factur‑X. Effective 31 December 2030, the directive also removes the need for recipient acceptance and will trigger automatic pre‑filling of tax data, creating a velocity mismatch for businesses that still park invoices. Companies must transition to structured formats and reconcile pre‑filled data with their own books to avoid audit issues.

A UK court upheld HMRC's assessment and imposed a penalty of over £1 million on a private healthcare company that filed a VAT appeal late. The ruling confirms that companies must meet strict conditions to challenge VAT assessments and that late appeals can trigger significant penalties.

The Philippine Court of Tax Appeals (CTA) issued a decision on Jan. 7 clarifying that a VAT deficiency assessment is void if the preliminary assessment notice (PAN) and formal letter of demand (FLD) lack the required annexes detailing the factual basis of the findings. The ruling applies to a domestic corporation’s assessment covering July 1 2013‑June 30 2014, underscoring the importance of proper documentation in BIR assessments.

Indonesia's Finance Minister Purbaya Yudhi Sadewa announced plans to inspect a Chinese‑owned steel company suspected of VAT evasion next week. The Ministry has identified 40 steel firms, with the two largest slated for inspection, and estimates that VAT avoidance could cost the state over Rp 4 trillion annually. The investigation will involve tracing tax reports, company registrations, ownership, and detaining tax‑related personnel.

The European Public Prosecutor's Office (EPPO) has revealed that one in three of its VAT fraud investigations involve Slovakia, highlighting the country as a major transit point for criminal money flows. The report estimates VAT fraud costs the EU €50 billion annually and notes that tax fraud up to €20,000 is no longer a criminal offence in Slovakia.

Malaysia has postponed the mandatory MyInvois e‑invoicing requirement for businesses with annual turnover between RM1 million and RM5 million to 1 January 2027, extending the penalty‑free transition period. The RM500 000–RM1 million threshold was raised to RM1 million, cancelling that rollout wave, while larger taxpayers remain on the original schedule. Consolidated e‑invoicing will also expand to retail and building‑materials sectors.

China’s State Taxation Administration announced new mandatory VAT registration rules effective 1 January 2026, requiring businesses with annual taxable sales above RMB 5 million to register as general VAT taxpayers. The announcement introduces retroactive compliance, mandatory registration for specific sectors, and automatic reclassification for late registrants, increasing compliance risk for businesses near the threshold.

France's DGFiP has released the first official list of definitively certified Approved Platforms for e‑invoicing, with just over 100 platforms now certified. The list will be updated as platforms complete audits, and the mandatory e‑invoicing go‑live is set for 1 September 2026, following a pilot phase in February 2026. Companies must use an Approved Platform and submit an audit report within a year of certification to maintain a renewable three‑year period.

The European Commission’s ViDA strategy outlines a phased reform of VAT systems across the EU, introducing real‑time digital reporting, mandatory e‑invoicing, and platform‑economy rules. Key milestones include legislative clarifications (2025‑2027), platform rules for accommodation and transport (2028), mandatory e‑invoicing for intra‑EU B2B (2030), and full harmonisation of digital reporting (2035). The reforms aim to save businesses €51 billion and reduce fraud by up to €11 billion annually.

A UK court upheld HMRC's decision to reject a private healthcare company's late VAT appeal, confirming that the company must meet strict conditions to challenge the assessments and the £1.3 million penalty. The ruling reinforces HMRC's authority to enforce timely appeals and the penalties for late submissions.

The Nicaraguan Directorate General of Revenue issued Notice No. 010-01-2026 on Jan. 16, 2026, setting a Jan. 20 deadline for large taxpayers (GRACOS) to pay advance VAT for the first half of January. Failure to meet the deadline could impact tax solvency. This guidance applies to large taxpayers in Nicaragua.

The article argues that India’s 2026 budget should overhaul the GST structure, financing options, and fleet economics to accelerate electric vehicle adoption. It proposes reducing GST on batteries and charging services to 5%, reclassifying battery swapping as an energy service, extending vehicle life norms, and providing green credit and toll waivers to lower ownership costs and support large fleet conversions.

The article discusses the CJEU Advocate General’s opinion in the Stellantis Portugal case, clarifying that transfer pricing adjustments agreed between parties may affect VAT taxable amounts, while unilateral tax authority adjustments do not. It distinguishes between separate services and contractual price adjustments, noting that a change in taxable amount does not constitute a separate supply of services. The final judgment is pending, expected before summer 2026, giving businesses time to assess implications.

Russia increased its VAT rate from 20% to 22% on 1 January 2026, expanding VAT registration to more small businesses. The Finance Ministry expects the hike to bring an extra 3.2 trillion rubles in revenue, while businesses have already raised prices to offset the tax change. The move aims to close the fiscal gap caused by war spending and falling oil revenues.