JPA Tax Club16th October 2014:

MOSS: Mini One Stop Shop

Dr. iur. Klaus Fiebichfk@fiebich.com

Tel.: +43 316 324453-11

• Telecommunication services• television and radio broadcasting services• electronically supplied services

Status quo: B2B: place of supply = location of recipient B2C: place of supply = location of entrepreneur

Starting 1.1.2015: B2B: place of supply = location of recipient B2C: place of supply = location of recipient

Services involved

Registration in all states of all consumers.

Alternative: MOSS

In the following cases it is presumed that the place of supply is where this technical equipment is located:

Telephone boxes, Wi-Fi, internet coffee shops

Restaurants, hotel lobbies etc

Services connected with accommodation services

Fixed phone lines

Mobile networks

Decoder, satellite card

Place of supply:presumption

In all other cases, the entrepreneur needs 2 pieces of evidence out of the following list:

Address used for invoicing the consumer

Place where the consumer is keeping his bank account

IP-Address of consumer

Geolocalisation

Mobile telephone system country code

Other economical relevant information

Place of supply:2 pieces of evidence

The Mini One Stop Shop…

…is optional and comes into force on 1st January 2015.

…registration is possible since 1st October 2014 in Austria.

…will allow taxable persons supplying those services to non-taxable persons to account for the VAT due on those supplies via a web-portal in one (!) Member State.

…simplifies procedures but the applicable VAT law remains still the law of the single EU-countries of the consumers. Therefore it is only a “Mini-” One Stop Shop.

Basic Information about MOSS

European Union law:

EU VAT Directive 2006/112/EG (Art 358 – 369k)

Implementing Regulation 1042/2013

EU Regulation 967/2012

EU Regulation 815/2012

EU Regulation 904/2010

Sources of law

Austrian law:§ 3a (13) UStG§ 25a UStGArt. 25a UStG

Two schemes are available:

Union scheme

Non-Union scheme

Please note:

Input VAT can not be refunded via MOSS! -> Normal VAT refund procedure!

MOSS Registration

Registration in the place of residence: A taxable person (company, partnership, sole proprietor) can register to use the Mini One Stop Shop in that state where that person

has his central seat of economic activity (priority) or

a permanent establishment in the EU.

The taxable person cannot use the Mini One Stop Shop for supplies made in any Member State in which he has an establishment (seat or permanent establishment) or keeps up a registration for VAT.

The taxable person will be identified for the Mini One Stop Shop with the same individual VAT identification number with which he is identified for his domestic VAT returns.

Union scheme

Free choice: A non-EU taxable person can register to use the Mini One Stop Shop if

he has not established its business in the EU and

he has no permanent establishment there and

he is not obliged to or voluntarily registered for VAT purposes in the EU (besides VAT refund).

The taxable person can choose any Member State to be the Member State of identification. That Member State will allocate an individual VAT identification number to the taxable person (using the format EUxxxyyyyyz).

Non-Union scheme

Registration and declaration: just in one Member State (State of identification).

Payment: has to take place until the 20th day of the month following the declaration period (= calendar quarter).

Example for 2015:

Declaration period: January – March; April – June;Payment: 20th April; 20th July;

Declaration period: July – September; October – December;Payment: 20th October; 20th January;

Declaration and payment

Voluntary change of Member State of identification in cases where there is no change in the location of the (business) establishment(s):

Union scheme: a taxable person may change his Member State of identification. In this case, the taxable person is bound to this decision for the calendar year concerned and the two calendar years following.

Non-Union scheme: a taxable person can change his Member State of identification at any time without a corresponding blocking period.

In any case, this is a voluntary deregistration followed by registration. The taxable person therefore needs to get deregistered in the old Member State of identification and follow the registration procedure in the new Member State of identification according to the normal rules.

Change of Member State of identification

The taxable person has to inform the Member State of identification at least 15 days before the end of the calendar quarter before that in which it intends to cease using the scheme.

Example for 2015:

Information till: 16.03.; 15.06.; 15.09.; 16.12.Termination: 01.04.; 01.07.; 01.10.; 01.01.

The taxable person is then excluded from using the scheme in any Member State for two calendar quarters.

Deregistration

Guide to the VAT Mini One Stop Shop:

http://ec.europa.eu/taxation_customs/resources/documents/taxation/vat/how_vat_works/telecom/one-stop-shop-guidelines_en.pdf

Explanatory notes:

http://ec.europa.eu/taxation_customs/resources/documents/taxation/vat/how_vat_works/telecom/explanatory_notes_2015_en.pdf

Helpful links

Thank you for your attention!

This presentation was created solely for training purposes. We take no responsibility for any action done or missed out of this presentation.

The explanations given are naturally of a general kind and can only give a survey over the legal situation and knowledge at that point of

time.

This is not meant to replace a professional consulting.