Dec 31, 2023
As we mentioned in last month's overview letter, from now on, every month, you will receive an overview of tax issues .We are responding to recent inquiries from drivers, so the topic of this newsletter is reverse VAT and frequently asked questions.
Why does the carrier have to pay reverse VAT?
For a person who carries out ride-hailing activities, the VAT liability arises when using the platforms of persons located abroad, more information about which can be found here .
Do I have to pay reverse VAT every month?
Yes, you have to declare and pay 21 % reverse VAT to VMI every month on the Bolt commission fee, which appears on the Total with VAT (EUR) line on your monthly invoice .
For example, you were charged €512.72 in Bolt commission per month . The Total with VAT (EUR) line of the monthly invoice will also show an amount of €512.72 . From this amount you have to calculate 21% "reverse" VAT, which will be €107.67 . You must declare and pay this tax to the state budget no later than the 25th of the following month. How to calculate and pay VAT , read more in these instructions .
What happens if the carrier does not pay the reverse charge VAT every month?
For persons who do not comply with the VAT payment procedure, late interest is calculated in accordance with the law, and in case of non-payment, the debt is recovered.
Why does the Bolt platform not pay reverse VAT?
When buyers (drivers) purchase a service (connecting passengers and drivers) from a company located abroad, the obligation to calculate and pay VAT to the budget falls on the buyers (drivers) in accordance with the established procedure.
Why does the passenger not pay reverse VAT?
The buyer who purchases the service from abroad is the driver, so the driver bears this responsibility.
We invite you to view these and other important answers on the topic of reverse VAT on this page . If your inquiry about reverse VAT has still not been answered, we invite you to ask your question in this anonymous form and we will share the answer prepared by the Bolt team in next month's tax letter.
We share the most important Bolt driver pages:
Bolt Driver Information Page .
Bolt and VMI Tax Information Page .
Anonymous form for asking questions.
Answers to last month's Bolt driver questions.
You can consult a VMI specialist on tax issues by phone number 1882 or +37052605060 .
See you next time! The Bolt Team 🇱🇹