‘Simple’ EU Vat return to help firms

A new EU-wide standardised Vat return offering a much simplified method for companies to report and pay their tax irrespective of how many EU countries they operate in has been presented by the European Commission.

Research shows that the more difficult Vat return forms are, the less likely companies are to comply with the law and pay the tax, said taxation commissioner Algirdis Semeta.

The proposed changes would help governments collect the estimated €193bn a year they lose in Vat, he said.