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Frequently Asked Questions on VAT

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What are the benefits of forming a tax group?

These are the benefits of forming a tax group:

  • Every member of a tax group is considered a single taxable person for VAT purposes. This simplifies the accounting process for VAT, as well compliance reporting like VAT tax returns, since they now only need to be filed at the group level instead of individually.

  • No VAT will be charged for supplies and purchases made between members of a tax group. However, VAT is applicable for transactions made with others outside of the tax group.

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