European Union · ViDA Reform & ECOFIN

EU Formally Adopts ViDA (VAT in the Digital Age): Key Deadlines for Single Registration, Platforms, and DRR

Following unanimous political approval at ECOFIN and formal enactment by the Council of the European Union, the landmark VAT in the Digital Age (ViDA) package is now law. Here is the operational roadmap from 2028 Single VAT Registration to 2030 mandatory cross-border e-invoicing.

What Has Changed?

On 5 November 2024, the EU Economic and Financial Affairs Council (ECOFIN) resolved long-standing compromises, enabling the formal enactment of Council Directive (EU) 2025/516 alongside Implementing Regulations 2025/517 and 2025/518. The VAT in the Digital Age (ViDA) reform represents the most far-reaching overhaul of the European VAT Directive since 1993, tackling tax fraud, establishing a single VAT registration across all 27 Member States, and digitizing cross-border reporting.

Pillar 1: Single VAT Registration (SVR) by July 2028

For e-commerce merchants and pan-European fulfillment operators, Pillar 1 is a game changer. Currently, sellers using Amazon Pan-EU FBA or cross-border logistics hubs must hold separate VAT registrations in every Member State where stock is stored (e.g. Germany, France, Italy, Spain, Poland, Czech Republic).

Effective 1 July 2028:

• Transfer of Own Goods via OSS: Cross-border stock transfers between warehouses in different EU states will be reported through an expanded One-Stop Shop (OSS), eliminating the requirement for local VAT numbers purely for inventory movements.
• Reverse Charge Expansion: Mandatory application of reverse charge for domestic B2B supplies where the supplier is not established in that Member State.
• Import OSS (IOSS): Operational enhancements to streamline third-country e-commerce parcel flows.

Pillar 2: Platform Economy Rules (July 2028 – January 2030)

Online intermediation platforms facilitating short-term passenger transport and holiday accommodation will be classified as 'deemed suppliers'. Where the underlying service provider does not charge VAT (e.g. private individuals or small exempt operators), the platform must collect and remit the VAT. Member States may apply this from 1 July 2028, with universal EU-wide application mandatory by 1 January 2030.

Pillar 3: Digital Reporting Requirements (DRR) & E-Invoicing by July 2030

The final pillar replaces outdated recapitulative statements (EC Sales Lists) with near real-time transaction reporting:

• 1 July 2030: Mandatory structured electronic invoicing (EN 16931) for all intra-Community B2B supplies, transmitted within 10 days of the taxable event.
• Elimination of Summary Invoices: Strict limits on monthly summary billing for intra-EU trade to enable real-time risk scoring.
• 1 January 2035: Full statutory convergence ensuring all domestic reporting regimes integrate with the central EU database.