BDO Tax & Legal Newsletter / APRIL 2020 No.2
07 April 2020
Mariam Khuskivadze / Manager, TAX |
Amendment to the Order
Refunding excise tax within the limits of International Agreement
By Decree N65 (04.03.2020) of the Minister of Finance of Georgia, an amendment has been made to Decree N996 “Tax Administration” of the Minister of Finance of Georgia. In particular, sub-articles 21 and 22 were added to the article 861, which determines that person using tax relief is entitled to obtaining a deduction or refund of excise tax paid for goods/services purchased within the limits of program/project.
The person using tax relief is entitled to applying for reflection of excise tax paid on the purchase of goods/services within the limits of program/project on the private tax card of taxpayer. The application should be attached with tax invoices issued on the purchase of goods/services. The sum of tax shall be reflected on the taxpayer’s private tax card after the review of the application.
The order came into force on 6 March 2020.
VAT refunding for VAT payer of the EU member state
By Decree N72 (11.03.2020) of the Minister of Finance of Georgia, an amendment has been made to Decree N996 (31.12.2010) “Tax Administration” of the Minister of Finance of Georgia. In particular, paragraph 31 was added to the article 51 which defines the forms of the documents used for VAT taxable transactions. According to this amendment, it was defined that for the purposes of VAT refunding there should be indicated in the proper cell of presented VAT invoice VAT identification number granted in the corresponding EU member state where it is registered or has permanent establishment.
The order came into force on 13 March 2020.
Waybill
By Decree N79 (18.03.2020) of the Minister of Finance of Georgia, an amendment has been made to Decree N996 (31.12.2010) “Tax Administration” of the Minister of Finance of Georgia. In particular, paragraph “a” of part 15 of article 251 was changed which determines, that the person is entitled not to issue a waybill for transportation of fixed assets, which are being used by service provider and are left in service provider’s ownership. Before the amendment such obligation was canceled only for transportation of the inventory in the same case.
The amendment came into force on 18 March 2020