Finland – Customs no longer charge VAT on imports! You have to!

Whilst it does vary by country, VAT is charged on imports has usually been done by the Customs authority  or VAT is collected by your freight forwarder. In some countries, the VAT has to be paid before the gods can be released and often paid in cash which can be tricky if you are importing a mining tool that costs $50m! But Finland are looking at the other extreme where no VAT is charged at all on import but instead are allowing companies to reverse charge the VAT themselves! This is aimed to improve cashflow for those companies otherwise having to pay and then reclaim the VAT. whether it opens up to VAT fraud, unintentional or otherwise remains to be seen! Andrew Bohnet is the current chair for the Oracle Tax Management SIG. He founded Innovate Tax to offer clients complete tax solutions making the most of the rich functionality of the R12 and Fusion tax modules. Whether it is analysis, design, configuration or support, Innovate Tax provide an unparalleled service when it comes to a

Source: Finland – Customs no longer charge VAT on imports! You have to!