VAT Updates

New Decree changing VAT Returns and payments for certain businesses (update)

Further to our previous VAT Alert regarding the amendments of the VAT reporting periods and payment deadlines for certain businesses who have received notifications from the Tax Department pursuant to Decree ΚΔΠ 170/2020, the Tax Department issued an updated announcement on 21/4/2020, in order to provide the following clarification:

  • Taxable persons who have been notified that their VAT returns are amended from quarterly to monthly reporting periods, and
  • whose tax return ended on 29/2/2020 and was submitted on 10/4/2020, and
  • who chose to defer the related payment until 10/11/2020 pursuant to N.24(I)/2020,

 

must include this deferred (and unpaid) VAT amount in the calculations when deriving the monthly payments of VAT due in accordance with Decree ΚΔΠ 170/2020. These payments are due on the 27th of each month beginning from 27/04/2020 and ending on 27/07/2020, with the balance payable by 10/11/2020, in accordance with Law 24(I)/2020.

 

The VAT payment calculation for each VAT period is shown in the following table.

 

Deadlines for VAT payments due

27/04/2020

27/05/2020

27/06/2020

27/07/2020

Amounts to be paid

30% of the VAT payment due for the period ending 31/3/2020*

30% of the VAT payment due for the period ending 30/4/2020

+ 30% of the remaining balance of the VAT payment for the periods ending 31/3/2020*

30% of the VAT payment due for the period ending 30/5/2020 +30% of the remaining balance of the VAT payment due for the periods ending 31/3/2020* and 30/04/2020

30% of the VAT payment due for the period ending 30/6/2020 +30% of the remaining balance of the VAT payment due for the periods ending 31/3/2020*,30/4/2020 and 31/5/2020

 

* including any VAT payable amount relating to the period ended 29/2/2020 if the deferral of the VAT payment was exercised pursuant to N.24(I)/2020.

Please be reminded that affected businesses whose activity codes fall within the scope of the published table (refer to our previous alert) are required to make payment of their VAT liability relating to each reporting period in full.

The TAXISNet system of the affected taxable persons has already been updated in order to show a monthly VAT return for March. If the platform indicates 10/05/2020 as the due date for the monthly VAT return of March it should be ignored. Affected businesses are required to submit monthly VAT returns by the 27th of the month following the expiration of each reporting period regardless of the submission date indicated on the TAXISNet platform.

For more information, contact our VAT Partner Kyriakos Fili.