EU Ministers Hail VAT Reform as Major Step in Digital Adaptation

European Union finance ministers Tuesday hailed an agreement on a value-added tax reform as a significant step in adapting tax systems to digital technologies.

The three-part reform, known as the VAT in the Digital Age (ViDA) package, would “update our VAT systems to reflect the digitalization of our economies, help combat VAT fraud, and ease administrative obligations for small companies and individual service providers,” said Mihály Varga, Hungarian finance minister.

Hungary brokered the agreement in its current role of president of the Council of the EU.

“The importance of this package cannot be underestimated,” said Belgian finance minister ...