This e-newsletter gives you an overview of international tax developments being reported globally by KPMG member firms in the Europe and Africa Regions between 1 January and 31 January 2026.
International Tax Europe and Africa January 2026
For a full summary of global tax developments, visit kpmg.com/TaxNewsFlash.
To contact the International Tax Team email internationaltax@kpmg.com.
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Austria
Austria | |||
Tax legislation approved and regulatory update | BEPS Pillar 2 | 16 January 2026 | Amendments to local Pillar Two rules. Read more |
Bosnia and Herzegovina
Bosnia and Herzegovina | |||
Tax legislation approved and regulatory update | Indirect tax | 29 January 2026 | New excise duty rates on manufactured tobacco. Read more |
Tax legislation approved and regulatory update | Indirect tax | 06 January 2026 | Instructions for Value Added Tax (VAT) refund procedures for nonresidents. Read more |
Bulgaria
Bulgaria | |||
Tax legislation approved and regulatory update | Indirect tax | 08 January 2026 | New Value Added Tax (VAT) regimes for supplies of goods by EU supplies, small enterprises. Read more |
Cameroon
Cameroon | |||
Administrative and case law | Income tax | 13 January 2026 | Guidance on mutual agreement procedures (MAPs). Read more |
Croatia
Croatia | |||
Tax legislation approved and regulatory update | Various tax topics | 29 January 2026 | Parliament approves amendments to Corporate Income Tax Act, General Tax Act. Read more |
Tax legislation approved and regulatory update | Various tax topics | 29 January 2026 | Implementation of DAC8 and DAC9 requirements. Read more |
Treaties | Income tax | 29 January 2026 | Tax treaty with Australia signed protocol to treaty with Switzerland ratified. Read more |
Treaties | Income tax | 05 January 2026 | Income tax treaty signed. Read more |
Cyprus
Cyprus | |||
Tax legislation approved and regulatory update | Transfer Pricing | 26 January 2026 | Increased Local file thresholds for 2026. Read more |
Tax legislation approved and regulatory update | BEPS Pillar 2 | 16 January 2026 | Consent to Pillar Two Side-by-Side Package (SbS). Read more |
Tax legislation approved and regulatory update | Various tax topics | 16 January 2026 | Repeal of stamp duty laws. Read more |
Other | Various tax topics | 16 January 2026 | Programme of the Cyprus Council Presidency released. Read more |
Tax legislation approved and regulatory update | Income tax | 16 January 2026 | Tax reform legislation enacted and effective January 1, 2026. Read more |
Administrative and case law | Indirect tax | 07 January 2026 | Guidance on Value Added Tax (VAT) treatment of admissions to events. Read more |
Estonia
Estonia | |||
Treaties | Income tax | 16 January 2026 | Income tax treaties with Liechtenstein and Oman ratified. Read more |
Ethiopia
Ethiopia | |||
Proposed legislation | Various tax topics | 13 January 2026 | Proposed tax incentives for exports, startups, green energy projects. Read more |
European Union
European Union | |||
Tax legislation approved and regulatory update | Various tax topics | 16 January 2026 | Priorities of Cyprus European Union (EU) Council Presidency, state of play on implementation of DAC8 and DAC9. Read more |
Proposed legislation | Various tax topics | 16 January 2026 | Commission launches public consultation on upcoming DAC recast proposal. Read more |
Tax legislation approved and regulatory update | Tax compliance | 16 January 2026 | Navigating the first wave of European Union (EU) public country-by-country (CbyC) reporting. Read more |
Administrative and case law | Indirect tax | 16 January 2026 | Transfer pricing adjustment only relevant for Value Added Tax (VAT) purposes if qualified as adjustment of transaction price agreed between parties. Read more |
Tax legislation approved and regulatory update | Tax compliance | 16 January 2026 | Council of the European Union (EU): DAC8 implementation – state of play. Read more |
Tax legislation approved and regulatory update | BEPS Pillar 2 | 16 January 2026 | Council of the European Union (EU): DAC9 implementation – state of play. Read more |
Administrative and case law | Income tax | 16 January 2026 | Court of Justice of the European Union (CJEU) referral on compatibility with European Union (EU) law of Germany’s double tax relief switch-over mechanism for foreign permanent establishments (PEs). Read more |
Administrative and case law | Various tax topics | 16 January 2026 | Court of Justice of the European Union (CJEU) referral on Portugal’s regime imposing increased property tax rates on real estate held through tax haven structures. Read more |
Tax legislation approved and regulatory update | Tax compliance | 14 January 2026 | Carbon border adjustment mechanism (CBAM) successfully entered into force on January 1, 2026. Read more |
Tax legislation approved and regulatory update | BEPS Pillar 2 | 13 January 2026 | European Commission (EC) notice confirming application of Pillar Two side-by-side package under European Union (EU) minimum tax directive. Read more |
France
France | |||
Tax legislation approved and regulatory update | BEPS Pillar 2 | 29 January 2026 | User guide for GloBE information return (GIR). Read more |
Tax legislation approved and regulatory update | Tax compliance | 29 January 2026 | Multiple reporting exemption regarding public country-by-country (CbC) transposed into law. Read more |
Tax legislation approved and regulatory update | Indirect tax | 29 January 2026 | Value Added Tax (VAT) provisions recodified into Goods and Services Tax Code (CIBS). Read more |
Tax legislation approved and regulatory update | Indirect tax | 13 January 2026 | Value Added Tax (VAT) exemption thresholds for goods, accommodations, and services reinstated retroactively to March 1, 2025. Read more |
Germany
Germany | |||
Tax legislation approved and regulatory update | BEPS Pillar 2 | 29 January 2026 | Amendments to Pillar Two rules, DAC9, and DAC8 legislation enacted, other tax developments. Read more |
Treaties | Income tax | 29 January 2026 | Protocols to tax treaties with Netherlands, Switzerland enter into force. Read more |
Tax legislation approved and regulatory update | Tax compliance | 21 January 2026 | Activation of new “DIP” mass data interface for FATCA reporting. Read more |
Tax legislation approved and regulatory update | Income tax | 16 January 2026 | Revised guidance on treaty interpretation. Read more |
Tax legislation approved and regulatory update | BEPS Pillar 2 | 16 January 2026 | Amendments to local Pillar Two rules. Read more |
Tax legislation approved and regulatory update | Tax compliance | 13 January 2026 | Updated frequently asked question (FAQ) on mandatory electronic invoicing (e-invoicing). Read more |
KPMG publications | Tax compliance | 05 January 2026 | Updated common reporting standard (CRS) guidance, implementation of DAC8 and cryptoasset reporting framework (CARF). Read more |
Ghana
Ghana | |||
Tax legislation approved and regulatory update | Income tax | 05 January 2026 | Modified taxation scheme (MTS) for “informal sector”. Read more |
Greece
Greece | |||
Tax legislation approved and regulatory update | Indirect tax | 28 January 2026 | Guidance on Value Added Tax (VAT) rate reduction for eligible islands. Read more |
Tax legislation approved and regulatory update | Tax compliance | 15 January 2026 | Guidance on implementation of carbon border adjustment mechanism (CBAM). Read more |
Administrative and case law | Income tax | 06 January 2026 | Guidance on timing of deductions during balancing market settlement process, tax incentive regime for corporate reorganizations. Read more |
Treaties | Income tax | 06 January 2026 | Income tax treaty with UAE once again in force. Read more |
Tax legislation approved and regulatory update | Income tax | 06 January 2026 | List of countries with preferential tax regimes for FY2023, list of non-cooperative countries for FY2024. Read more |
Tax legislation approved and regulatory update | Income tax | 05 January 2026 | Guidance on taxation of distribution or capitalization of untaxed profits from prior years. Read more |
Guernsey
Guernsey | |||
Tax legislation approved and regulatory update | Tax compliance | 28 January 2026 | Updated guidance on implementation of Common Reporting Standard (CRS 2.0) (Guernsey). Read more |
Hungary
Hungary | |||
Treaties | Income tax | 13 January 2026 | Entry into force of amending protocol to Switzerland income tax treaty. Read more |
Isle of Man
Isle of Man | |||
Tax legislation approved and regulatory update | Tax compliance | 27 January 2026 | Industry Advisory Notice on cryptoasset reporting framework (CARF). Read more |
Italy
Italy | |||
Tax legislation approved and regulatory update | Various tax topics | 27 January 2026 | Tax measures in 2026 Budget Law. Read more |
Tax legislation approved and regulatory update | Various tax topics | 16 January 2026 | 2026 Budget Bill introduces changes to financial transaction tax (FTT) and other tax measures. Read more |
Jersey
Jersey | |||
Tax legislation approved and regulatory update | BEPS Pillar 2 | 16 January 2026 | Extension of the Multinational Corporate Income Tax (MCIT) registration deadline. Read more |
Kenya
Kenya | |||
Administrative and case law | Indirect tax | 20 January 2026 | KPMG report: Digital platform operator with transactional control liable for valued added tax (VAT) (Kenya High Court decision). Read more |
Tax legislation approved and regulatory update | Tax compliance | 07 January 2026 | Tax return information to be validated against specified data sources. Read more |
Tax legislation approved and regulatory update | Tax compliance | 07 January 2026 | New standards levy on manufacturing turnover. Read more |
Administrative and case law | Indirect tax | 07 January 2026 | Digital platform operator with transactional control liable for Value Added Tax (VAT) (High Court decision). Read more |
Latvia
Latvia | |||
Tax legislation approved and regulatory update | Transfer Pricing | 30 January 2026 | New requirements for controlled transactions report. Read more |
KPMG publications | Various tax topics | 20 January 2026 | Tax card for 2026. Read more |
Treaties | Income tax | 07 January 2026 | Income tax treaties with Latvia and Montenegro approved by Parliament. Read more |
Liberia
Liberia | |||
Proposed legislation | Various tax topics | 16 January 2026 | Draft 2026 budget includes measures to tax digital economy, increase in goods and services tax (GST). Read more |
Liechtenstein
Liechtenstein | |||
Tax legislation approved and regulatory update | Tax compliance | 08 January 2026 | Cryptoasset reporting framework (CARF) regulation enacted. Read more |
Luxembourg
Luxembourg | |||
Tax legislation approved and regulatory update | Income tax | 22 January 2026 | Start-up investment tax credit enacted. Read more |
Proposed legislation | BEPS Pillar 2 | 16 January 2026 | Amendments to local Pillar Two rules. Read more |
Tax legislation approved and regulatory update | BEPS Pillar 2 | 16 January 2026 | Pillar Two registration and reporting forms. Read more |
Treaties | Income tax | 07 January 2026 | Amending protocols to income tax treaties with Georgia and San Marino approved, tax treaty with Montenegro effective October 1, 2025. Read more |
Moldova
Moldova | |||
Administrative and case law | Income tax | 07 January 2026 | Guidance on application of small and medium enterprises (SME) tax regime. Read more |
Administrative and case law | Indirect tax | 07 January 2026 | Guidance on application of Value Added Tax (VAT) to sales conducted abroad, commissions charged by freelance services platforms, electricity and gas supplies. Read more |
Tax legislation approved and regulatory update | Tax compliance | 07 January 2026 | Amended list of automatic exchange of information (AEOI) participating and reportable jurisdictions. Read more |
Monaco
Monaco | |||
Treaties | Tax compliance | 16 January 2026 | Protocol amending automatic exchange of financial account information (AEOI) agreement with European Union (EU) effective January 1, 2026. Read more |
Mozambique
Mozambique | |||
KPMG publications | Various tax topics | 07 January 2026 | Amendments to Value Added Tax, corporate and individual income tax, excise tax, and customs laws. Read more |
Namibia
Namibia | |||
Proposed legislation | Various tax topics | 06 January 2026 | Tax proposals in 2025/2026 mid-year budget review. Read more |
Netherlands
Netherlands | |||
Administrative and case law | Income tax | 22 January 2026 | Interest on loan from Belgium coordination center is non-deductible (Supreme Court decision). Read more |
Tax legislation approved and regulatory update | BEPS Pillar 2 | 16 January 2026 | Amendments to local Pillar Two rules. Read more |
Administrative and case law | Income tax | 16 January 2026 | Dutch Supreme Court confirms ‘fraus legis’ for deduction of interest from debt related to the purchase of a participation. Read more |
Tax legislation approved and regulatory update | Income tax | 14 January 2026 | Foreign tax credits to alleviate double taxation of assets from trusts. Read more |
Niger
Niger | |||
Tax legislation approved and regulatory update | Various tax topics | 16 January 2026 | Expanded solidarity fund contribution introduces various levies and tax incentives. Read more |
Nigeria
Nigeria | |||
Administrative and case law | Indirect tax | 29 January 2026 | Share-purchase agreements are subject to stamp duties. Read more |
Tax legislation approved and regulatory update | Indirect tax | 16 January 2026 | New 15% import duty on fuel, other recent tax-related developments. Read more |
Tax legislation approved and regulatory update | Various tax topics | 06 January 2026 | “Certified” versions of tax reform legislation released by National Assembly. Read more |
North Macedonia
North Macedonia | |||
Tax legislation approved and regulatory update | Various tax topics | 08 January 2026 | Value Added Tax (VAT) law amendments, new guidance on Pillar Two top-up tax. Read more |
Norway
Norway | |||
Tax legislation approved and regulatory update | BEPS Pillar 2 | 16 January 2026 | Amendments to local Pillar Two rules. Read more |
OECD
OECD | |||
Other | Transfer Pricing | 22 January 2026 | Fourth batch of updated transfer pricing country profiles. Read more |
Treaties | BEPS Pillar 2 | 16 January 2026 | List of signatories of the GloBE Information Return Multilateral Competent Authority Agreement (GIR MCAA) updated (Pillar Two). Read more |
Other | BEPS Pillar 2 | 16 January 2026 | Updated Central Record for Pillar Two purposes. Read more |
Other | Various tax topics | 14 January 2026 | KPMG report: 2025 update to Organisation for Economic Co-operation and Development (OECD) Model Tax Convention. Read more |
KPMG publications | Indirect tax | 14 January 2026 | Guidance on digital continuous transactional reporting (DCTR) for Value Added Tax (VAT). Read more |
Other | BEPS Pillar 2 | 05 January 2026 | Agreement reached on Pillar Two side-by-side package. Read more |
Portugal
Portugal | |||
Tax legislation approved and regulatory update | BEPS Pillar 2 | 16 January 2026 | Extension of Pillar Two registration deadline. Read more |
Romania
Romania | |||
Proposed legislation | BEPS Pillar 2 | 16 January 2026 | Public consultation on guidance for global anti-base erosion (GloBE) information return (GIR). Read more |
Tax legislation approved and regulatory update | Various tax topics | 13 January 2026 | Amendments to various direct and indirect taxes, new electronic invoicing obligations. Read more |
Serbia
Serbia | |||
Tax legislation approved and regulatory update | Indirect tax | 29 January 2026 | Value Added Tax (VAT) refund for 2025 to foreign taxpayers. Read more |
Slovakia
Slovakia | |||
Proposed legislation | Indirect tax | 26 January 2026 | Draft amendment to Value Added Tax (VAT) law. Read more |
Slovenia
Slovenia | |||
Tax legislation approved and regulatory update | Various tax topics | 14 January 2026 | Changes to taxation of derivative financial instruments and corporate income tax. Read more |
Spain
Spain | |||
Tax legislation approved and regulatory update | Various tax topics | 20 January 2026 | New direct and indirect tax measures for 2025 and 2026. Read more |
Tax legislation approved and regulatory update | Tax compliance | 15 January 2026 | Value Added Tax (VAT) related compliance for January and February 2026. Read more |
Administrative and case law | Tax compliance | 06 January 2026 | Updated guidance on common errors in common reporting standard (CRS) reports received via Form 289. Read more |
Sweden
Sweden | |||
Proposed legislation | BEPS Pillar 2 | 29 January 2026 | Further amendments to Pillar Two legislation. Read more |
Proposed legislation | Indirect tax | 29 January 2026 | New Value Added Tax (VAT) deduction rules proposed for mixed activities. Read more |
Proposed legislation | Indirect tax | 29 January 2026 | Proposed tax increase on certain tobacco products. Read more |
Proposed legislation | Income tax | 29 January 2026 | Proposed dividend withholding tax exemption for foreign states. Read more |
Proposed legislation | Tax compliance | 16 January 2026 | Draft legislation implementing DAC9. Read more |
Proposed legislation | Income tax | 16 January 2026 | Proposed enhancements to tonnage taxation system. Read more |
Tunisia
Tunisia | |||
Tax legislation approved and regulatory update | Indirect tax | 15 January 2026 | Expanded electronic invoicing (e-invoicing) mandate to cover services, in addition to goods. Read more |
United Kingdom
United Kingdom | |||
Tax legislation approved and regulatory update | Various tax topics | 22 January 2026 | Tax measures in Scottish budget 2026-2027. Read more |
Tax legislation approved and regulatory update | Transfer Pricing | 22 January 2026 | Updated transfer pricing guidelines for compliance. Read more |
Proposed legislation | Various tax topics | 08 January 2026 | Draft guidance on new advance tax certainty service (ATCS). Read more |
Administrative and case law | Income tax | 08 January 2026 | Providing scientific education through digital platform does not qualify for research and development (R&D) tax relief (First-tier Tribunal decision). Read more |
Administrative and case law | Indirect tax | 08 January 2026 | Stamp duty land tax general anti-avoidance rule applied to series of intra-group transactions (Court of Appeal decision). Read more |
Zimbabwe
Zimbabwe | |||
Tax legislation approved and regulatory update | Indirect tax | 22 January 2026 | Digital services withholding in lieu of nonresident Value Added Tax collection. Read more |
