United States

Global VAT Challenges in the Digital Economy

Wednesday March 08, 2017 2:00 PM - 3:00 PM EST
From KPMG TaxWatch

KPMG TaxWatch

Event Overview

KPMG LLP invites you to join us for a review of VAT/GST obligations applicable to cross-border sales of goods and services and an outlook into potential new VAT/GST obligations in the online retail space.

What are the rules in question?

An increasing number of jurisdictions are implementing rules aimed at cross-border sales of services, especially digital services (including software downloads; content streaming; broadcasting; downloads of music, movies and electronic games; and e-books and e-magazines), in order to ensure that VAT/GST is collected in the country of consumption. As a consequence, these jurisdictions require that a non-resident vendor registers for VAT locally and collects tax on business-to-consumer (B2C) and, in certain instances, business-to-business (B2B) sales of services and intangibles.

In addition, some jurisdictions are now starting to look at imposing similar VAT obligations on remote retail sales of tangible personal property, creating a new set of challenges for online retailers and freight forwarders.

Who is impacted by these rules?
Businesses selling services and intangibles, especially digital services, to foreign consumers. Given the broad implementation of the rules in certain jurisdictions, businesses outside the traditional e-commerce space may potentially be affected, including freight forwarders in the case of remote sales of goods.

Jeremy Gray

Senior Manager, Indirect Tax, KPMG LLP

Chris Walsh

Managing Director, State and Local Tax, KPMG LLP

Doug Fagan

Manager, State and Local Tax, KPMG LLP

Luke Plowman

Senior Manager, State and Local Tax, KPMG LLP