Tax Alert: Introduction of the liability for foreign persons to appoint VAT agents
28/03/23
March 28th, 2023
There are proposed amendments to the Law on Value Added Tax currently in Parliamentary procedure that introduce an obligation 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 are expected to take effect as of 1 July 2023.
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:
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Miroslav Marchev
Partner, Tax and Legal Services
Mobile: +389 70 270 177
E-mail: miroslav.marchev@pwc.com
Eli Bocevska Grueska
Senior Tax Manager
Mob: + 389 72 307 510
E-mail: eli.bocevska.grueska@pwc.com
Ana Shajnoska Georgijevska
Senior Tax Manager
Mobile: + 389 72 307 509
E-mail: ana.shajnoska@pwc.com
