Substantial EU VAT Changes Impact Canadian Companies Doing Business in Europe/UK

Your challenges

The recently adopted European value added tax (VAT) package of regulatory changes (effective January 1, 2010) will bring significant and widespread changes to key areas of VAT legislation. Also, Canadian companies and their local affiliates conducting business in Europe will be impacted in a number of ways, including:

• Changes in place of supply rules for certain services;
• Special rules for electronically supplied services for businesses (telecoms, broadcasting); and
• Additional and revised compliance requirements and reform of processes for electronic filing, processing refund applications, etc.

Above all, in order to avoid penalties, you’ll need to comply with European VAT regulations by the January 1, 2010 deadline. Also keep in mind that these compliance requirements will profoundly impact your accounting systems and business processes.

How PricewaterhouseCoopers can help

PwC’s Canadian and EU-based VAT specialists can help you identify and prepare for the impact of these new regulations on your business, helping you to minimize disruptions and avoid stiff compliance penalties. With the assistance of our advisory colleagues, we can also manage and revamp any IT, business process or accounting issues that may arise from your compliance efforts.