Tax Symposium 2023 - Day 1 - Parallel session 1: VAT in a digital world

Speakers

Ferenc VAGUJHELYI (Commissioner, National Tax and Customs Administration, Hungary)
Ondrej KOVARIK (Member of the European Parliament & ECON Committee)
Helena ALVES BORGES (Director-General, Portuguese Tax and Customs Authority)
Sophie CLAESSENS (Director Amazon Public Policy EU - Leading Amazon’s Fiscal and Customs policy engagement in Brussels and across EU)
Stefanie BECKER (Tax Adviser, European Tax Adviser Federation (ETAF))
Moderated by Mario Nava (Director General DG for Structural Reform Support, European Commission)

VAT is an essential source of revenue for the Member States and the EU, amounting to about 20% of national revenues and having the least distortionary effects. Businesses who want to take advantage of the Single Market, especially SMEs, currently face up to 27 national VAT systems, each with separate reporting obligations. Such fragmentation can incur administrative burden and financial costs. In addition, consecutive updates to the VAT legislation have made the legal framework increasingly complex, leading to uncertainty and leaving the door open for fraud. New digital technologies, big data analysis or artificial intelligence may help solve some of the issues.

This session will therefore look into how the current ‘transitional’ VAT system can be adapted to the digitised economy, with real time flow of information and exchange and fast-paced development. It will also delve into how evolving technologies could be used, as well as best practices in implementation.