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VAT in the Digital Age

VAT in the Digital Age

The European Commission's ViDA (VAT in the Digital Age) initiative is set to transform how VAT is reported and collected across the EU. With a strong focus on digital reporting, e-invoicing, and platform economy rules, ViDA aims to modernize the VAT system, close the VAT gap, and simplify cross-border trade.

What is ViDA?

ViDA is a legislative package proposed by the European Commission that will:


•   Introduce mandatory digital real-time reporting (DRR) for intra-EU transactions, using e-invoicing as the standard.
•   Redefine VAT rules for platform-based businesses, especially in the gig and short-term accommodation economy.
•   Expand the scope of the One Stop Shop (OSS) and Import One Stop Shop (IOSS) to reduce VAT registration obligations across member states.

Key ViDA Proposals (as of current planning)

•  Mandatory e-invoicing for intra-EU B2B transactions
•  Real-time digital reporting of cross-border transactions via a centralized EU system
•  New deemed supplier rules for digital platforms
•  Extension of OSS/IOSS to cover more cross-border transactions, including B2C services
•  Simplified VAT registration for certain business models
•  Implementation Timeline: ViDA measures are expected to be phased in between 2026 and 2028, subject to final EU legislative approval

Get in touch

How can we help

For information about ViDA, please give us a call or send an e-mail.

ViDA Readiness Assessments
Digital Reporting & E-Invoicing Setup
Platform Economy Advisory
OSS/IOSS Strategy & Expansion
Cross-border VAT Simplification

Why act now?

Although ViDA is still in the legislative pipeline, businesses that prepare early will:


•    Avoid last-minute disruptions
•    Ensure systems are compatible with digital reporting requirements
•    Stay compliant across EU jurisdictions
•    Maintain competitiveness and customer trust

 Contact us today for a ViDA impact assessment or tailored action plan.

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