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A query was raised regarding whether a billing scheme, where a retail agency acts on behalf of and for the account of a wholesaler, complies with regulations. The Directorate General for Tax (DGT) ruled that issuing invoices is permissible under the fourth additional provision of the Billing Regulations, provided certain requirements are met.
This ruling clarifies the legal framework for billing arrangements between retail and wholesale travel agencies, ensuring compliance with tax regulations when acting as intermediaries.
The tax team reviews your specific situation.
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