Two posts relating to MOSS – this is getting tedious, but I feel that I must share this one.

I mentioned in the last post that many multi-nationals would have registered for VAT in the likes of Madeira or Luxembourg.  Well, that advantage was removed from 1 January 2015, as the VAT revenue it was enjoying would now accrue to the other Member States where a significant number of customers were.  The obvious effect is that the revenue streams that Luxembourg enjoyed have been somewhat diminished.  Poor Luxembourg, I hear you say.  But please don’t waste any sympathy on them as they allegedly threatened to block the 1 January 2015 changes, unless the EU collectively agreed to make up the loss in revenue – to the tune of €1.1 billion over four years!  I had expected that Luxembourg was voluntarily paying some of their earlier windfalls to the EU when all the US multi-nationals moved in, but oddly enough I’ve been unable to find anything of that nature.  On a brighter note, though, the UK stands to benefit to the tune of about €360m per annum as a result of sales to the UK.

 

Digg This
Reddit This
Stumble Now!
Buzz This
Vote on DZone
Share on Facebook
Bookmark this on Delicious
Kick It on DotNetKicks.com
Shout it
Share on LinkedIn
Bookmark this on Technorati
Post on Twitter
Google Buzz (aka. Google Reader)

Leave a Reply

Your email address will not be published. Required fields are marked *