The European Union’s VAT in the Digital Age (ViDA) legislative package will bring profound changes to value-added tax compliance for businesses operating in Finland and across the EU. The reforms, to be implemented gradually between 2028 and 2035, mandate real-time digital reporting (DRR) based on e-invoicing standards, a single EU VAT registration for cross-border supplies (One Stop Shop expansion), and new deemed-supplier rules for digital platforms facilitating short-term accommodation and passenger transport. The Finnish Tax Administration has begun preparatory work to align national systems with the ViDA directives, including updates to the MyTax portal and the national e-invoicing framework.
Key Takeaways
- Digital Reporting Requirement (DRR): From 2028, VAT-registered businesses must submit transaction-level data in real time via certified e-invoicing platforms, replacing the current periodic VAT return with a continuous compliance model.
- Platform Economy Obligations: Digital platforms connecting customers with providers of short-term accommodation rental and passenger transport services will become deemed suppliers responsible for VAT collection and remittance, effective 2028.
- Single VAT Registration (OSS Expansion): The existing One Stop Shop (OSS) will be expanded to cover all B2C cross-border supplies of goods and services, allowing businesses to register in one EU member state for all EU VAT obligations.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement