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August 18, 2020
EY Global Tax Controversy Flash Newsletter (Issue 25) | Managing indirect taxes through and beyond COVID-19
During the COVID-19 pandemic, value-added tax (VAT) rules have undergone significant changes to help keep vital goods moving and to promote business resilience. In many countries, for example, filing rules have been relaxed and payment deadlines have been extended or waived, and VAT rates have been temporarily reduced.
Based on these activities, taxpayers may think that tax authorities will be similarly generous when it comes to controversy measures, such as tax audits and penalties — leading them to downgrade the importance of indirect tax management. That, however, would be a mistake.
Countries have enacted several expensive economic stimulus packages to combat the effects of the global pandemic. As countries seek revenue to help pay for these relief measures, VAT rates may increase, even beyond pre-COVID-19 levels, and enforcement is likely to be back on many tax authorities’ agendas. In this environment, companies need to take a proactive approach to VAT controls and implement robust compliance processes.
Listen to the EY webcast, Indirect Tax insights for a changing world, to learn about current issues that are challenging businesses’ indirect tax functions, and steps businesses can take to help manage these issues. Hear about hot topics in VAT, goods and services tax (GST) developments, available grants and incentives, digital taxation and global trade issues that are affecting businesses now. We also address indirect tax topics that are important to focus on next as lockdown measures are eased and how indirect tax executives can contribute to business value once we move beyond the current crisis.
Additional information and links to past newsletters can be found in the attached PDF.
Flash Newsletter Attachment