6 November 2026
AskColm Weekly Tax Digest - 6 November 2026
Tax went to the ballot box in the US this week where Washington voters rejected a repeal of the tax on millionaires, and North Carolina voters backed a property tax cap and income tax cuts. In Florida, a property tax revolt is leaving cities facing painful cuts, and California’s billionaire tax is proving a harder sell than expected. ITEP’s State Rundown covers election day.
Europe is busy with paperwork. France is abolishing simplified VAT returns from January 2027, and Denmark has clarified new digital accounting requirements. Germany raises a good question: is a failed e-invoice still a valid VAT invoice? If you export from the US to Europe, there’s also a piece on what the e-invoicing mandates mean for you. And since 1 November, the EU has applied a €2 handling fee on IOSS parcels, with an explainer on who pays it.
In the UK, the B2B reverse charge on overseas services is being restricted from 1 April 2027. A High Court has ruled that Uber’s payments to drivers are subject to payroll tax. An Iowa bitcoin mining company has been told it doesn’t qualify for data centre exemptions, and the TaxProf blog has a talk on modernising the IRS in the age of AI. On the global side, there are pieces on Pillar Two in Europe and the United Nations tax initiative. And if you’ve wondered whether Diwali gifts are taxable, someone has written that up too.
My latest blog post explains what an MCP server is, why finance and tax vendors keep announcing them, and two ideas for using one. It’s here: https://askcolm.com/blog/mcp-server-easy-crew
Have a good weekend.
Colm
Selected articles
Are Diwali Gifts Taxable? Income Tax, TDS & GST Rules [2026]
Guidance on GST and income tax treatment of gifts and vouchers received by employees during festive periods. Gifts are exempt from tax if their annual aggregate value does not exceed Rs 15,000; amounts above this threshold are fully taxable.
Why California’s Billionaire Tax Was a Harder Sell Than Expected
California's Proposition 40 proposes a new billionaire tax. The measure faced significant opposition and campaign spending from wealthy individuals despite backing from a major healthcare union.
State Rundown 11/5: Election Day Put Taxes on the Ballot
US voters approved ballot measures on tax policy, including measures in Washington, California, and Colorado focused on raising revenue and increasing taxes on high earners amid affordability concerns.
Florida property-tax revolt leaves cities facing painful cuts
Florida voters approved a significant property-tax reduction affecting homeowners, creating budget shortfalls for local municipalities and cities.
North Carolina Voters Back Property Tax Cap, Income Tax Cuts
North Carolina voters approved constitutional amendments lowering the state's individual income tax cap and implementing a property tax cap, following Republican-sponsored initiatives.
Wash. Voters Reject Repeal Of Tax On Millionaires
Washington voters rejected a ballot measure to repeal the state's tax on high-earner income, allowing the recently approved tax to remain in effect.
Apply to pay voluntary National Insurance contributions for periods abroad by post (CF83)
UK guidance on applying by post to pay voluntary National Insurance contributions for periods worked or lived abroad.
UK to Restrict the B2B Reverse Charge on Overseas Services from 1 April 2027
The UK will restrict the B2B VAT reverse charge on overseas services from 1 April 2027, limiting it to VAT-registered customers only. This change introduces new VAT accounting obligations for affected overseas service providers.
High Court confirms Uber’s payments to drivers are subject to payroll tax
Australia's High Court dismissed Uber's appeal, confirming that payments to drivers constitute wages subject to NSW payroll tax. The Court ruled drivers supply services to Uber despite riders receiving those services, and contractual labels cannot override payroll tax treatment.
Iowa bitcoin mining company not qualified for data center sales, use and property tax exemptions
Iowa Department of Revenue issued a declaratory order determining that a bitcoin mining company does not qualify for data center sales, use, and property tax exemptions under state law.
What Europe’s E-Invoicing Mandates Mean for US Exporters
European eInvoicing mandates create compliance obligations for US exporters selling into Europe. Companies must adapt their invoicing processes to meet regional regulatory requirements.
France abolishes simplified VAT returns from January 2027
France eliminates simplified VAT return procedures effective January 2027, requiring all businesses to use standard VAT reporting.
EU €2 Handling Fee from 1 November 2026: Who Pays It and How Does It Work with IOSS
EU introduces €2 handling fee effective 1 November 2026 for import parcels. The fee applies alongside the €3 customs duty threshold and interacts with the Import One-Stop Shop (IOSS) scheme for VAT purposes.
Mazur Presents “Modernizing the IRS in the Age of AI” Today at Pepperdine
Academic presentation on modernizing the IRS through artificial intelligence, exploring policy implications of AI adoption in tax administration.
GST Implications on Leases in India
Overview of GST treatment for leases in India, addressing tax classification challenges for land and structure leases. Covers whether specific lease arrangements constitute taxable supplies or qualify for exemptions based on property nature and intended use, relevant to landlords, tenants, and developers.
Pillar Two Implementation in Europe, 2026
22 of the 27 EU Member States have implemented both the income inclusion rule and the qualified domestic minimum top-up tax as of 2026, reflecting broad European adoption of Pillar Two minimum tax requirements.
Germany’s e-invoice paradox: is a failed invoice still a valid VAT invoice?
Germany's e-invoicing rules create a VAT validity question: whether a failed or incorrectly transmitted e-invoice can still qualify as a valid VAT invoice under German law.
Denmark clarifies and introduces new digital accounting requirements
Denmark has clarified requirements for registered digital accounting systems and continues promoting e-invoicing adoption through its NemHandel platform.
Religious Groups Go Further Than DOJ and Press 5th Circuit for Full Revival of Political Speech by Tax-Exempt Churches
Religious groups urge the 5th Circuit to fully reverse dismissal of their challenge to restrictions on tax-exempt churches engaging in political activity, going further than the Justice Department's position in the case.
Let’s Talk About the United Nations Tax Initiative
Article discusses the tension between OECD and UN tax initiatives, specifically the OECD's Two-Pillar Framework and the UN Framework Convention on International Tax Cooperation (UNGA Resolution 78/230), and their impact on internationally mobile entrepreneurs, digital service providers, and remote businesses.
Summaries are AI generated and may contain errors. Check the original article before relying on them. Nothing here is tax advice.
Share this issue on LinkedIn →
Get the Friday Digest
Every Friday I share the tax developments that caught my eye, from VAT and eInvoicing to Pillar Two and global policy, with practical context and links to the original sources.