The European Commission is preparing the implementation of digital VAT in the EU from 2026

The European Commission has published the work program for 2026 regarding the implementation of the VAT reform in the digital age, ViDA. The document sets out the technical and legislative steps for digital reporting, electronic invoicing, the single VAT register, and the new rules applicable to short-term rental platforms and road passenger transport. The reform will be gradually introduced until 2035.

The European Commission has published the work program for 2026 regarding the implementation of the VAT reform in the digital age, ViDA, one of the most extensive processes of digitizing the European VAT system. The document outlines the planned activities for 2026 and the beginning of 2027, following the formal adoption of the ViDA package in March 2025. The reform aims to modernize VAT in the EU, reduce fraud, and adapt tax rules to the platform economy.

In short

The European Commission has published the work program for 2026 regarding the implementation of ViDA.

The reform will introduce digital reporting for cross-border B2B transactions, based on electronic invoicing.

From 2028, short-term rental platforms and road passenger transport will be subject to new VAT rules.

From 2030, electronic invoicing will become the standard method for invoicing under the new digital reporting requirements.

By 2035, member states that have national real-time digital reporting systems will need to align them with the European system.

The work program published by the Commission updates the implementation strategy presented in September 2025. It shows how the implementing acts, IT systems, consultations with member states, and discussions with the business environment will be prepared in 2026.

One of the central components is the Digital Reporting Requirements system. This will introduce real-time digital reporting for cross-border trade, based on electronic invoicing.

The Commission intends to adopt in the third quarter of 2026 an implementing regulation regarding the common electronic message through which taxable persons will transmit data to member states. Also in 2026, the Commission is preparing the first implementing acts for the central VIES system, the European platform for exchanging VAT information.

The program also includes the publication of the European standard for electronic invoicing in the second quarter of 2026. The architecture of the central VIES system and its functional and technical specifications are expected to be approved in the fourth quarter of 2026.

For member states, the stakes are technical and administrative. The Commission's document shows that 12 member states have requested technical support through the Technical Support Instrument for the implementation of ViDA.

The Commission will organize consultations with member states and the business environment through structures such as the VAT Future Group, the Permanent Committee for Administrative Cooperation, and the extended VAT expert group.

The second important component is the Single VAT Registration. Its purpose is for businesses to be able to manage their VAT obligations more easily in multiple member states, without unnecessary multiple registrations.

From January 1, 2027, the One Stop Shop system will be expanded to include B2C deliveries from the electric charging sector. At the same stage, legislative clarifications for One Stop Shop and Import One Stop Shop users will come into effect.

From July 1, 2028, the main reforms regarding the single VAT register will begin, including the application of the mandatory reverse charge mechanism for suppliers who are not established in the member state where VAT is due.

The work program also provides measures to secure the Import One Stop Shop system, so that IOSS numbers are not misused.

The platform economy is the third pillar of the reform. From July 1, 2028, platforms in the short-term rental and road passenger transport sectors will have to comply with new measures regarding the presumed supplier.

This regime may allow the platform to be treated, under certain conditions, as a supplier for VAT purposes. The measure aims for a more coherent collection of VAT in sectors where activity is digitally intermediated and may involve small suppliers or non-taxable persons.

The Commission's implementation strategy shows that this area requires clarifications for member states to apply the measures in the same way and for platforms not to bear disproportionate administrative burdens.

The last major stage is scheduled for 2035. By January 1, 2035, member states that already have national real-time digital reporting obligations will need to align their systems with the European model for cross-border reporting.

For companies, the ViDA timeline means a gradual change in how invoices are issued, transactions are reported, and VAT obligations are managed in multiple member states.

For tax administrations, the reform means developing interoperable systems and faster data exchange, with the aim of reducing VAT fraud, including carousel fraud.

ViDA consists of three main components: digital reporting requirements, rules for the platform economy, and the single VAT register. According to the implementation strategy, the package is expected to bring estimated net benefits between 172 and 214 billion euros over a ten-year period, including savings of 51 billion euros for companies.

https://2eu.brussels/ro/stiri/comisia-europeana-pregateste-implementarea-tva-digitala-in-ue-din-2026