The measure will also apply retroactively to businesses established from 2024, even if they have already been filing VAT quarterly. From October 2025, existing businesses can opt into the monthly system if they wish.
Why the Change?
Authorities are cracking down on companies that exploit the quarterly VAT system, collect VAT from customers, and then shut down before paying taxes—leaving the state with unpaid liabilities. The issue is particularly prevalent in industries such as hospitality, nightlife, and tech resellers.
By shifting to monthly VAT submissions, tax authorities can detect fraud faster and prevent losses before businesses disappear.
What’s Next?
- New businesses (from April 2025) → Monthly VAT from the start
- Businesses opened in 2024 → Monthly VAT from July 2025
- Existing businesses → Optional switch to monthly VAT from October 2025
After two years of operation, eligible businesses may revert to quarterly filings.
This reform aims to enhance tax compliance while offering companies more flexibility in managing their VAT obligations.
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