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  • Angola: The tax authorities announced on 23 September 2025 that the implementation of e-invoicing was postponed from 22 September 2025 to 1 October 2025 due to technical issues that arose during the rollout and that a transition period will apply until the end of 2025 during which time taxpayers may continue to issue invoices in the traditional format and no penalties will be imposed for noncompliance. E-invoicing will become fully mandatory starting on 1 January 2026—traditional invoices will no longer be accepted.
  • Anguilla: Starting on 1 August 2025, a general service tax (GST) applies at a standard rate of 13% on a variety of services, including tourism services, professional services, construction services and communications services. The Anguilla tax authorities issued a press release on 31 July announcing the new tax.
  • Bahamas: Starting 1 September 2025, the VAT rate on specific essential goods is reduced to 5% and the rate on sweets and soda is increased to 10%.
  • Bahrain: The National Bureau for Revenue has published an updated guide on the VAT treatment of transportation services, primarily to clarify the definition of a qualifying means of transport and explain the general VAT principles and how they apply to transportation supplies, as well as an updated guide on imports and exports that sets out the salient points of how VAT applies to the import/export sector, as well as relevant compliance obligations.
  • Cayman Islands: New environmental taxes on imported vehicles apply as from 1 October 2025; the taxes apply uniformly across all vehicle types, including gasoline, hybrid and electric models, subject to certain exemptions.
  • Bolivia: The deadline for taxpayers in groups 9-12 to begin issuing e-invoices is extended to 31 March 2026 (previously 30 September 2025).
  • Chile:
    • A resolution published by the tax authorities on 29 September 2025 postpones the effective date of the requirement for digital payment platform operators and operators of digital intermediation platforms to verify that their users have reported the commencement of business activities to the tax authorities. The rule will now enter into effect on 2 January 2026 rather than 1 October 2025 (for prior coverage, see the article in the July 2025 issue of Indirect Tax News).
    • The tax authorities have clarified the VAT compliance obligations of nonresident companies providing VATable digital services to non-VAT taxpayers in the country. In a ruling dated 27 August 2025, the tax authorities confirmed that such nonresident companies must register under the simplified VAT regime and are subject to VAT compliance obligations.
  • Croatia: Proposed changes to the VAT act would harmonise that legislation with the Fiscalisation Act that introduces mandatory e-invoicing in Croatia starting on 1 January 2026. Among the proposals are eliminating the customer consent requirement for accepting e-invoices for B2B supplies, extending the filing period and eliminating the requirement for taxpayer to submit certain documentation.
  • Estonia: The government announced on 18 September 2025 that income tax rate increases that were planned for 2026 will not go forward but the VAT rate increase to 24% approved at the same time was not mentioned in the press release announcing the change in policy relating to the income tax rates. The VAT rate increase took effect on 1 July 2025, and is likely to be retained (for prior coverage see the item in the Bytes column in the July 2025 issue of Indirect Tax News).
  • Ethiopia: A directive released by the Ministry of Finance on 2 September 2025 and that applies from that date clarifies the VAT registration requirements. Taxpayers whose aggregate turnover from taxable and exempt transactions exceeds ETB 2 million and taxpayers required to maintain books of account and those that voluntarily maintain books of account must complete their registration within 30 days from the effective date of the directive. Affected taxpayers must begin collecting VAT on taxable goods and services starting on the date of registration.
  • European Union: The European Commission announced on 7 October 2025 that it has proposed a substantial increase in steel tariffs to protect the EU steel sector from unfair impacts of global overcapacity. Based on the proposal, the amount of steel that could be imported into the EU without incurring tariffs would be reduced to 18.3 million tons per year, a nearly 50% reduction compared to the quota from 2024 and the tariff on steel imported above that quota would be increased to 50%. The proposal will have to be agreed on by the European Parliament and the Council, and once adopted, the measure will replace the EU's safeguard on steel when it expires in June 2026.
  • Fiji: The VAT rate reduced to 12.5% on 1 August 2025.
  • Germany: The Draft Tax Amendment Act 2025 released on 5 September 2025 would make permanent the reduced 7% VAT rate on restaurant and catering services (except for beverages) starting on 1 January 2026.
  • India: The Prime Minister has announced plans to reform the Goods and Services Tax (GST) regime to reduce the number of GST rates from four to two (i.e., 5%, 12%, 18% and 28% to 5% and 18%).
  • Ireland: The 2026 budget presented on 7 October 2025 includes a reduction in the 13.5% VAT rate on food and catering services to 9% as from 1 July 2026 and a temporary reduction in the rate on newly built flats from 13.5% to 9% during the period 8 October 2025 through 31 December 2030. In addition, the 9% rate on the supply of gas and electricity would be extended through 31 December 2030 (for a comprehensive analysis of the budget measures, see the tax alert prepared by BDO in Ireland).
  • Italy: The law decree that delays the effective date of the “sugar tax” was converted into law on 8 August 2025 and published in the official gazette on 9 August. The sugar tax will enter into effect on 1 January 2026 (rather than 1 July 2025) (for prior coverage, see the Bytes column in the July 2025 issue of Indirect Tax News).
  • Kazakhstan:
    • The government is considering “conditional” VAT registration requirements for foreign companies operating through digital platforms in Kazakhstan. A register of foreign VAT payers would be created and foreign businesses would have to submit information to the tax authorities within one month from the date of the first payment for goods or services by a buyer in the country. If enacted, the new rules would apply from 1 January 2026.
    • A new tax code that generally will apply as from 1 January 2026 contains changes to the VAT rules: (i) the standard VAT rate will increase from 12% to 16%; (ii) the reduced rate of 5%, which applies to medical products and services and pharmaceuticals, will jump to 10% in 2027; (iii) the VAT registration threshold will drop from KZT 80 million to KZT 40 million; and (iv) e-invoicing will be mandatory for all VAT-registered taxpayers, as well as certain non-VAT payers (e.g. commission and forwarding agents), and designated business sectors.
  • Mauritius: A Communique issued by the tax authorities on 12 September 2025 announces a reduction in the VAT registration threshold from MUR 6 million to MUR 3 that applies as from 1 October 2025. The lower threshold brings more suppliers within the VAT regime.
  • Malaysia: The Budget for 2026 contains a proposal to extend the stamp duty exemption on contract notes for listed exchange-traded fund transactions for three more years to apply to transactions taking place from 1 January 2026 to 31 December 2028.
  • Netherlands:
    • New VAT rules on immovable property that will apply in the Netherlands as from 1 January 2026 are expected to increase the administrative burden for entrepreneurs and specifically will impact the VAT treatment of high-cost services relating to renovations of immovable property (for an overview of the measures, see the tax alert dated 7 October 2025).
    • On 3 October 2025, the government announced a consultation on draft legislation that would impose new VAT obligations on digital platforms that facilitate short-term accommodation rentals and passenger transport by road. Such platforms would be required to collect and remit VAT on these services offered via their systems and comply with recordkeeping and verification obligations. The consultation runs to 3 November 2025.
  • Nigeria:
    • The Nigeria Customs Service announced on 7 September 2025 that imported goods (i.e., low-value goods, e-commerce consignments and passenger baggage) valued at USD 300 or less will qualify for duty-free clearance for up to four importations per year.
    • The president formally abolished the 5% excise tax on telecommunication services, including mobile voice and data services, on 19 August 2025.
    • A press release issued on 11 August 2025 extends the deadline for large taxpayers to comply with the national e-invoicing system, with the deadline moved from 1 August to 1 November 2025 (for prior coverage, see the item in the Bytes column in the July 2025 Indirect Tax News). Large taxpayers for these purposes are businesses with turnover of NGN 5 billion or more. 
  • Norway: A public consultation is being held on the introduction of mandatory e-invoicing for B2B transactions starting on 1 January 2028.
  • Romania:
    • An ordinance that applies as from 1 September implements the EU small business scheme for cross-border supplies into Romanian law; under the scheme, small businesses in Romania can apply for the VAT registration exemption for small businesses in other EU member states if their annual turnover in those countries does not exceed the relevant exemption thresholds and their annual turnover in the EU does not exceed EUR 100,000. Additionally, a taxable person established in another member state can apply the VAT registration exemption for small businesses in Romania if their annual turnover in Romania does not exceed Romania’s exemption threshold and their annual turnover in the EU does not exceed EUR 100,000.
    • As from 1 August 2025, the standard VAT rate increased from 19% to 21% and the reduced VAT rates of 5% and 9% are consolidated into an 11% rate. The government has approved an update to the prefilled VAT return to take the VAT rate increases into account.
  • Serbia: Starting in 2026, the tax authorities will be generating pre-filled VAT returns.
  • Singapore: The tax authorities have updated their guidance on GST registration requirements.
  • Spain: The General Directorate of Taxes has clarified the concept of “construction work” in the context of the application of the VAT reverse charge and the Galicia region has introduced a new tourist tax and municipal surcharge (for an analysis of these developments, see the article posted on 24 September 2025).
  • Sri Lanka:
    • The simplified VAT scheme (SVAT), which allowed eligible businesses to suspend VAT at the point of transaction rather than having to pay input VAT and subsequently request a refund, was repealed effective 1 October 2025. Following the repeal, all existing registrations for the SVAT are cancelled and converted to the standard VAT system, with affected taxpayers required to charge/pay VAT at the standard rate. SVAT has been replaced with a risk-based refund scheme that facilitates VAT refunds.
    • The introduction of an 18% VAT on digital services provided by nonresidents that was due to apply as from 1 October 2025 (and then 1 April 2026) has now been postponed to 1 October 2026 to give taxpayers additional time to prepare. The rules will affect a broad range of digital and online services supplied to customers in Sri Lanka, such as SaaS, e-commerce platforms, digital marketing and advertising, streaming platforms, IT support and consulting, payment services, etc.
  • Tanzania: A public notice published 2 September 2025 provides an update on new rules that allow application of the reduced VAT rate for B2C purchases made via online payments through a bank or an approved electronic payment system starting 1 September 2025. Finance Act 2025 introduced a reduced 16% rate for qualifying purchases, but implementation rules have not yet been published. A separate notice will be issued once the rules are finalised.
  • Thailand: Application of the reduced VAT rate of 7% has been extended for another year through 30 September 2026. Thailand's standard VAT rate is 10% but it was reduced to 7% (including local tax) as part of special economic measures adopted after the 1997 Asian financial crisis.
  • United Arab Emirates: The Federal Tax Authority (FTA) issued a public clarification on 5 September 2025, outlining expected changes to the excise tax legislation to introduce a tiered‑volumetric model for the calculation of excise tax on sweetened drinks. This marks a significant shift from the current ad valorem method (based on a percentage of the excise price) and aims to better reflect sugar content in determining excise tax liability. For a full analysis of the changes, see the alert drafted by BDO in the UAE.
  • United Kingdom: HMRC has updated its guidance on how to claim a refund of overpaid import duty and the relevant deadlines.
  • Vanuatu: The Vanuatu Sales Monitoring System is planned to apply as from 1 January 2026 as part of reforms to modernise the tax system and enhance compliance. 
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