Accounting technology / Glossary / ViDA (VAT in the Digital Age)

What is ViDA (VAT in the Digital Age)?

Definition

ViDA, short for VAT in the Digital Age, is the European Union's package of VAT reforms adopted in March 2025. It brings in mandatory e-invoicing and digital reporting for cross-border business-to-business trade from July 2030, makes online platforms liable for VAT on short-term accommodation and passenger transport, and widens single VAT registration.

Also calledVAT in the Digital Age

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Adopted: 11 March 2025
Cross-border e-invoicing: From 1 July 2030
Region: European Union

How ViDA works

ViDA has three parts. Digital reporting: from 1 July 2030 invoices for business-to-business supplies between member states must be structured e-invoices, with the data reported to tax authorities. Platform economy: from 1 July 2028 platforms facilitating short-term accommodation and passenger transport become liable for the VAT, although member states may delay this until 1 January 2030. Single VAT registration: from 1 July 2028 more cross-border sales can be declared through the One-Stop Shop instead of registering in each country. Since 14 April 2025 member states can also require domestic e-invoicing without EU approval, which is why national mandates, such as Belgium's from January 2026 and France's from September 2026, arrive before 2030. Domestic systems must align with the EU model by 2035.

Common questions

When does ViDA apply?+

In stages. It entered into force on 14 April 2025; the platform and single registration rules apply from 1 July 2028; mandatory e-invoicing and digital reporting for cross-border business-to-business supplies apply from 1 July 2030.

Does ViDA require e-invoicing for domestic sales?+

Not directly. It lets each member state require domestic e-invoicing without asking the EU for permission, and national systems must align with the EU model by 2035.

What is the One-Stop Shop under ViDA?+

An EU VAT portal that lets a business declare VAT due in several member states through one return in a single member state. ViDA widens it to more types of supply, so fewer businesses need registrations in each country.