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VAT application for electronic services provided by non-resident economic agents to resident natural persons

Mon, 09/12/2019 - 15:24 |

The Ministry of Finance announces the approval in the first reading of the Parliament's sitting from 05.12.2019 of the provisions regarding the VAT taxation of electronic services, as part of the draft law on fiscal and customs policy for 2020.

The proposal aims to establish as a taxable subject with VAT in the Republic of Moldova the non-residents who perform entrepreneurial activity without having the organizational-legal form in the Republic of Moldova, who provide services through electronic networks, to the resident natural persons or to deliver goods using an electronic interface that facilitates distance selling of goods.

According to the concept, the non-resident company that provides electronic services to the resident natural persons is to register at the State Tax Service, with the payment and quarterly declaration of VAT on the delivery of services to the resident natural persons. The process of requesting the fiscal code, presenting the VAT information can be carried out remotely through the electronic service: E-commerce-VAT office located on the official page of the State Tax Service.

It should be mentioned that this measure will ensure fair competition between national and international electronic service providers by applying the same tax treatment through the payment of VAT on the budget.

VAT application for electronic services provided by non-resident economic agents to resident natural persons