Latvia Cabinet Approves Draft Bill to Strengthen, Simplify, Harmonize With EU Common VAT Regime Directive

The Latvian Cabinet Sept. 30 approved a draft bill to strengthen, simplify, and harmonize laws with the EU directive on the common VAT regime. The draft bill includes measures that would: 1) extend the 5 percent reduced VAT regime for specific foods for three more years; 2) implement the 30 days shortened VAT refund period, with exclusions; 3) not allow deposit fees’ inclusion in the taxable value of the mandatory deposit system for certain reusable and single-use packaging; 4) require VAT payments within three days declarations’ submissions; 5) clarify the reverse charge procedure for timber transactions; and 6) require the ...