Denmark Tax Agency Explains VAT Tax Treatment of E-Service Suppliers

The Danish Customs and Tax Administration Jan. 7 posted online a tax board binding answer clarifying the VAT rules for electronic services provided to non-taxable persons. A taxpayer ran a digital marketplace application connecting storage suppliers with customers wishing to store goods. The application enabled booking and payment services between suppliers and customers, charging a fixed fee per service and an intermediary fee based on storage time. The taxpayer requested clarification of the taxation of these services. The tax agency found the taxpayer’s provision of the website, the ongoing operation, and the handling of the website to qualify as the ...