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The changes brought by the new Rulebook provide further guidance on the application of some of the recent amendments to the VAT Law (discussed in our tax alert here), and generally follow the provisions of the Council Implementing Regulation of the EU.

Some of the main changes compared to the old Rulebook include:
  • Definitions of:
    • What is considered as telecommunication services;
    • What is considered as broadcasting services;
    • Further definition on electronically supplied services.
  • For the purposes of determining whether services have their place of supply abroad in case of supplies to taxable persons, taxpayers are required to obtain:
    • A certificate issued by the relevant tax authorities which contains the recipient’s tax number and which proves that the recipient is taxable person pursuant to article 9 from the VAT Law (person which carries independent business activities on a temporary or permanent basis, irrespective of the purpose or the results of those activities);
    • Alternatively, the supplier needs to obtain the recipient’s VAT number or a similar registration number issued by the foreign authorities and which is used to identify that the recipient carries business activities, or to determine in another manner that the recipient is a taxable person or a person that is considered as taxable person pursuant to article 14 paragraph 1 from the VAT Law (this paragraph includes as taxable person for the purposes of determining the place of supply under the B2B rules, other persons in addition to taxable persons determined as persons which carry independent business activities).
  • Definitions of what is considered means of transport and further detailed regulation, with respect to the determination of the place of supply in case of lease of such means;
  • Further detailed regulation on how to determine the location of the recipient, with respect to telecommunication services, broadcasting services and electronically supplied services;
  • Invoicing requirements with respect to fiscal representatives: tax representatives can issue one collective invoice for the calendar month or the calendar quarter, whereby the collective invoice is to contain the following minimum information:
    • Place, date of issuance and number;
    • Name and VAT number of the foreign taxpayer and the address of the tax representative;
    • Month or a quarter in which the supplies were carried, or in which the payments were received;
    • Reference to the number and the date of the calculations which are issued by the foreign person;
    • Tax base;
    • Tax rate;
    • Amount of VAT;
    • Total amount;
    • Name, surname and signature of the authorized person at the tax representative.

The collective invoice is issued within 5 days from the end of the period.

With respect to the record keeping obligations of tax representatives, they are liable to record the tax base, the applied VAT rate, the amount of the VAT, and the total amount, for each separate invoice.

The new Rulebook was published in Official Gazette No. 18 from 25 January 2024, and enters into force from 26 January 2024, when the old Rulebook ceases to have effect.

For information

Srdjan Randjelovic
Partner
Tel.: +389 2 313 52 20

Koce Jovanov
Senior Manager, Tax
Tel: +389 2 313 52 20