Global VAT and sales tax rules continue to change rapidly across global markets, with tax authorities placing greater focus on digital compliance, reporting transparency and cross-border enforcement. Below is a roundup of some of the latest VAT and sales tax updates businesses should have on their radar.
EU customs: €3 flat-rate duty on low-value parcels (under €150) now live from 1 July 2026, applying per item category by customs code. European Commission guidance confirmed on 2 June 2026. Businesses not yet compliant are already behind. Effective 1 July 2026.
Italy: National €2 parcel contribution also live from 1 July 2026, sitting on top of the EU €3 levy and IOSS VAT. Landed cost models must be recalculated per destination country and per item category. Effective 1 July 2026.
France: Mandatory e-invoicing goes live 1 September 2026 for large and mid-sized businesses, with e-reporting obligations for non-established VAT-registered businesses from the same date. Certified platforms should be connected and tested now. Effective 1 September 2026.
Spain: Draft Ministerial Order for mandatory B2B e-invoicing public consultation closed 8 May 2026. Ministerial Order expected imminently. Large companies above €8m must comply by October 2027, all others by October 2028. Platform selection should begin now.
Greece: Phase 2 of the B2B e-invoicing mandate confirmed for 1 October 2026 for businesses below €1m turnover, with an adjustment period until 31 December 2026. Technical onboarding should be underway now. Effective 1 October 2026.
EU (ViDA): European Commission published the ViDA 2026 Work Programme in May 2026, confirming January 2027 as the first hard deadline. OSS expansion for EV charging and OSS/IOSS clarifications land in January 2027. ERP readiness assessments should be in progress now.
Austria: VAT on a defined basket of essential foods cut from 10% to 4.9%, including milk, eggs, bread, pasta, vegetables and fruit. New cascading rate hierarchy introduced. Effective 1 July 2026.
UK: MTD for Income Tax Self Assessment mandatory for businesses with gross income above £50,000. Quarterly digital submissions now required. The threshold drops to £30,000 from April 2027. Effective 6 April 2026.
UK: Temporary 5% VAT rate on children’s meals, tickets and family attractions. Consumer-facing businesses in hospitality and leisure should review whether their services fall within scope and update pricing and VAT return treatment accordingly. Effective 25 June to 1 September 2026.
Italy: New Consolidated VAT Code (Legislative Decree No. 10/2026) entered into force 31 January 2026. Substantive provisions apply from 1 January 2027. Businesses should begin reviewing invoicing procedures and updating templates now.
US sales tax: South Carolina Supreme Court ruled Amazon liable for $12.5m in pre-facilitator law sales tax on third-party sales from 2016. A reminder that historic platform exposure remains an active enforcement risk. Ruling March 2026.
US sales tax: New York appellate court confirmed that web-based vendor management platforms are taxable as prewritten software, even where delivered via SaaS and bundled with services. SaaS businesses selling into New York should review their taxability classifications. Ruling January 2026.
