Author: Europe News Desk

After a two-month public consultation period, Hungary’s National Tax and Customs Administration (NAV) has finalized changes to the Online Invoice System’s business validation logic, incorporating feedback from taxpayers and technical stakeholders. The revised rules will take effect in the live production environment from September 15, 2025, with the test environment available from September 1, 2025. These updates aim to improve data accuracy and quality across Hungary’s real-time invoice reporting system, which serves both the tax authority and businesses leveraging NAV services such as Online Számla and eVAT (eÁFA). Key Changes to Business Validations NAV has introduced the following adjustments to…

Under Sections 1169 of the Corporation Tax Act 2009 (CTA 09) and associated legislation, HMRC enforces robust anti-avoidance provisions to prevent companies from artificially inflating or manufacturing claims for Land Remediation Relief (LRR), Land Remediation Tax Credits (LRTC), and related capital expenditure deductions. Scope of the Legislation The law specifically addresses scenarios where a company enters into arrangements wholly or mainly for the purpose of creating or increasing a tax relief claim beyond what would otherwise be legitimately available. If such arrangements are identified, the amount of relief or credit is restricted to the figure the company would have been…

In an effort to support taxpayers, accountants, and software developers in preparing their internal systems and accounting tools, the Hungarian Tax Authority has released a draft version of the new structure for VAT Return Form 2565, which will become available on July 30, 2025. This preliminary publication includes: According to the announcement dated July 25, 2025, the release is intended to allow sufficient time for technical and procedural adaptation ahead of the form’s official implementation. The draft aims to help bookkeeping software developers and corporate accounting departments integrate the updated structure into their systems for seamless VAT reporting. The Tax…

If Inheritance Tax (IHT) is due on a trust, you must notify HM Revenue & Customs (HMRC) using Form IHT100c. This form is part of the broader IHT100 trust and estate account package and is used specifically to declare chargeable events related to trusts. Accessing the Form To obtain Form IHT100c: How to Complete the IHT100c Follow these steps to complete the form correctly: Important Reminders For further details, clarification, contributions, or any concerns regarding this article, please get in touch with us at editorial@tax.news. We value your feedback and are committed to providing accurate and timely information. Please note…

New Law Authorizes FNS to Analyze and Share Financial and Tax Data to Strengthen Business Transparency President Vladimir Putin has signed a federal law amending the Russian Federation’s law “On the Tax Authorities of the Russian Federation” (No. 943-I of March 21, 1991), granting the Federal Tax Service (FNS of Russia) expanded powers to conduct formal assessments of the financial and business activities of legal entities and individual entrepreneurs. The new powers take effect on January 1, 2026, and are part of an effort to increase transparency, risk mitigation, and market discipline in Russia’s business environment. Key Provisions of the…

180-Hour Threshold for Overtime Tax Relief Extended Retroactively from July 1 to December 31, 2025 A legislative measure adopted by the Belgian Chamber of Representatives last week (Doc. Parl., Chambre des Représentants, no. 56-0909) provides for the extension of the increased 180-hour annual cap applicable to payroll tax reductions on overtime hours. This measure adjusts Article 154bis of the Income Tax Code 1992 (CIR 92) and extends the application until December 31, 2025. Background: Tax Relief on Overtime Hours Under Belgian tax law, employers may apply a reduction of withholding tax (précompte professionnel) for certain remunerated overtime hours, subject to…

New Powers Under Finance Act 2022 Allow Greater Transparency in Tackling Tax Avoidance Her Majesty’s Revenue & Customs (HMRC) has reiterated its authority to publish information about known tax avoidance schemes, along with details of the individuals and businesses involved in promoting, enabling, or supplying such schemes. This move is part of a broader strategy to deter participation in avoidance arrangements and safeguard the UK’s tax base. What HMRC Can Publish — and Why Under the powers granted by the Finance Act 2022, HMRC may disclose names and details of promoters, enablers, and suppliers of tax avoidance arrangements. The primary…

New Law Enhances Online Communication Between Taxpayers and the Federal Tax Service The State Duma of the Russian Federation has passed a federal law aimed at enhancing digital interaction between individual taxpayers and the Federal Tax Service (FNS) through the Unified Portal of State and Municipal Services (EPGU, commonly known as Gosuslugi). The new framework will allow not only the exchange of documents but also key tax-related data critical for exercising taxpayer rights and fulfilling obligations. Key Changes Introduced by the New Law Under the new law, individual taxpayers will be able to: Flexible, Scalable Service Expansion The FNS will…

A Landmark Case Tests VAT Rules on Digital Platforms’ Use of User Data Italy’s Revenue Agency has issued formal tax assessments against Meta Platforms Inc., X (formerly Twitter), and LinkedIn, demanding more than $1 billion in unpaid value-added tax (VAT). The assessments are based on a groundbreaking legal theory: that free user registrations constitute taxable barter transactions, as users provide personal data in exchange for access to social media services. The largest demand targets Meta at approximately €887 million ($1.03 billion), while LinkedIn and X face assessments of €140 million and €12.5 million, respectively. These claims cover the period 2015…

Changes to Agricultural Asset Taxation Could Undermine Farming Succession Planning, Sector Leaders Say A senior executive at Marks & Spencer has warned that planned changes to the UK’s inheritance tax (IHT) regime could discourage young people from entering farming, potentially endangering generational continuity in the sector. Speaking at the Royal Welsh Show, Steve McLean, Head of Agriculture and Fisheries at M&S, criticised the UK government’s proposal to impose a 20% tax on inherited agricultural assets valued over £1 million, effective from April 2026. While this represents a reduced rate compared to the standard 40%, McLean said the move would be…