Introduction of the liability for foreign persons to appoint VAT agents
As per the latest amendments to the Law on Value Added Tax an obligation is introduced for a foreign person to register for VAT if such person neither has headquarters, nor a subsidiary in the country, and sells goods and services in the country that are subject to taxation under the VAT Law.
Foreign persons who will register for VAT purposes in the country are obliged to appoint a VAT agent, who will have an obligation on their behalf and for their account to:
- calculate the tax,
- submit a tax return,
- pay the tax,
- pay penalty interest in case of late payment of the tax, and
- keep accounting records.
The VAT agent also jointly guarantees the VAT owed by the foreign person in the country.
The manner of application of the reverse-charge VAT provisions in cases where the foreign supplier is VAT registered in the country is open for interpretation.
The amendments will take effect as of 1 January 2024.
How can we help you?
PwC North Macedonia can help you with:
Assistance and advice in relation to the obligation to appoint a VAT agent.
VAT calculation and filing.
Specialized training courses for employees on the changes in the VAT regulation.
For more details please refer to your usual contact within PwC or the persons indicated below:
