As 2023 comes to an end, let’s take a brief but important tour of some of the most significant changes regarding global VAT-related matters that should be implemented from the first days of 2024.
| Country | Description of change | Date of applicability |
| Luxembourg | The application of previously introduced VAT measures related to reducing VAT rates is coming to an end, and next month, the VAT rates will return to pre-reduction levels. Standard rate: 17%; Intermediate Reduced rate: 14%; Reduced rate: 8%; Super Reduced rate: 3% (haven’t changed in 2023). | January 1, 2024 |
| Switzerland | After the amendment of the VAT act and public support, the country will increase VAT rates, so the new rates will be: Standard rate: 8.1%; Reduced rate: 2.6%. | January 1, 2024 |
| Liechtenstein | Amendment of the VAT act introduced the following changes: Standard rate: 8.1%; Reduced rate: 2.6% (for specific types of supply, e.g. food delivery services); Rise of VAT rate for accommodation services: 3.8%. | January 1, 2024 |
| Germany | The German authorities have extended the reduction of STD VAT rate for restaurant and catering services as an answer to the strongly hit hospitality sector due to the effects of the pandemic. The reduced rate’s last extension expires on December 31, 2023. The rate for the restaurant and catering services shall change from the present 7% to 19%(which is the STD VAT rate). | January 1, 2024 |
| Lithuania | Increase of the registration threshold for domestic taxpayers from present – EUR 45,000 to EUR 55,000. The government believes that increasing the registration threshold will help mainly small businesses providing services to end customers. | Pending approval of the Budget Law for 2024 |
| Latvia | Increase of the registration threshold for domestic taxpayers from present – EUR 40,000 to EUR 50,000. | Pending approval of the Budget Law for 2024 |
| Sri Lanka | Increase of the Standard VAT rate: from 15% to 18%. | Pending the approval of the Budget Law for 2024 |
| Singapore | Increase of the GST rate: from 8% to 9%. | January 1, 2024 |
| Czech Republic | Consolidation of the two Reduced rates at the present moment, levied at 15% and 10%, will be unified into one Reduced rate at 12%. The upcoming consolidation of the Reduced VAT rates will also create connected changes for tax reporting. By this, we mean the Tax Return form and Tax Control form. | January 1, 2024 |
| Estonia | The Standard VAT rate will be increased From the present 20% to 22%. | January 1, 2024 |
| Malaysia | The registration threshold has been introduced at RM 500 for sales of low-value goods imported from abroad. The threshold captures the liability of online suppliers and taxable persons operating digital platforms. The Sales Tax rate applicable for the supply of low-value goods shall be 10%. When online merchants and/or digital platforms reach the LVG supply threshold, they are obliged to register for ST in Malaysia and levy ST at 10% for this type of supply. | January 1, 2024 |
| Malta | Introduction of a new Reduced Rate of 12% for specific types of supplies. | January 1, 2024 |
Aleksandar Delic
1stopVAT Indirect Tax Researcher (Global Content)