Indirect Tax
Motor Vehicle Sales and Use Tax rate to change from 0.3% to 0.5% in Washington, w.e.f. 1 January 2026
Excerpts from various sources
According to the Washington Department of Revenue, motor vehicle sales and use tax rate will change from 0.3% to 0.5% w.e.f. 1 January 2026.
The motor vehicle sales and use tax applies only to vehicles that are self-propelled and licensed for on-road use, such as cars, SUVs, pickup trucks, commercial trucks, motorcycles, buses, and RVs. The definition of “motor vehicle” does not include the below listed vehicles as they are not self-propelled vehicles under RCW 46.04.320:
- Trailers
- Farm tractors and farm vehicles
- Off-road and non-highway vehicles
- Snowmobiles
U.S. Government announces new tariffs on Timber, Lumber, and related products
Excerpts from various sources
The U.S. government has announced new tariffs on timber, lumber and related products. Accordingly, effective from 14 October 2025:
- Softwood timber and lumber imports are subject to 10% duty.
- Upholstered wooden products, kitchen cabinets and vanities are subject to 25% duty.
On the other hand, effective from 1 January 2026, these products will be subjected to 30% and 50% duty respectively.
Philippines extends e-invoicing obligation deadline to 31 December 2026
Excerpts from various sources
The Bureau of Internal Revenue (BIR) has issued RR No. 026-2025 amending the transitory provisions of RR No. 011-2025. Accordingly, the e-invoicing deadline for large taxpayers and certain export-oriented businesses has been extended to 31 December 2026.
Said move is on account of technical challenges, onboarding delays, and based on feedback from taxpayers.
Ireland Budget 2026: Reduced VAT rate of 9% for tourism, hospitality, and energy sectors
Ireland Department of Finance – Budget 2026
On 7 October 2025, Ireland’s Department of Finance released Budget 2026, outlining several taxation measures that will directly impact the tourism, hospitality, and energy sectors over the coming years. Some of the key announcements include:
Extension of 9% VAT rate on Energy sector
- The 9% reduced VAT rate on electricity and gas supplies has been extended until 31 December 2030.
- VAT rate of 9% also extended to Electric Vehicles (EVs)
Reintroduction of 9% VAT Rate for Tourism & Hospitality (Effective from 1 July 2026)
- The 9% reduced VAT rate will apply to:
- Food and catering services
- Hairdressing services
- Replaces the standard 13.5% rate currently in effect
Reduced VAT Rate for New Apartment Sales (Effective from 8 October 2025 till 31 December 2030)
- The 9% VAT rate has been made applicable on sale of new apartments to encourage housing supply.
Transfer Pricing
OECD has published the third batch of updated transfer pricing country profiles with new insights on hard-to-value intangibles and simplified distribution rules4
The OECD has released an updated set of Transfer Pricing (TP) Country Profiles, covering the latest TP laws and practices in 25 jurisdictions. This update also includes, for the first time, profiles for five (5) new countries: Cabo Verde, Guatemala, Thailand, the United Arab Emirates, and Zambia.
The new batch adds details on how different countries handle hard-to-value intangibles and apply simplified approaches for baseline marketing and distribution activities.
With this update, the OECD’s TP Country Profiles now cover 83 countries and jurisdictions, with more updates expected in December 2025.
The TP country profiles focus on the key TP aspects of each country’s domestic tax legislation including:
- The arm's length principle;
- Methods and comparability analysis;
- Intangible property;
- Intra-group services;
- Cost contribution agreements;
- Focumentation;
- Administrative approaches to avoiding and resolving disputes;
- Safe harbors and other implementation measures.
OECD has released New MAP and APA statistics on Tax Certainty Day 2025 for the year 2024
On 31 October 2025, the OECD released of new information and statistics regarding mutual agreement procedures (MAPs) and advance pricing arrangements (APAs). According to the release, the statistics provide “a comprehensive view of how jurisdictions resolve cross-border tax disputes and prevent double taxation.”
The release recognizes countries basis various parameters and has awarded in following categories.
It has recognized Switzerland under average time for closures with approx. 20 months for TP cases and New Zealand with approx. 3.55 months. India and Japan as a pair have scored the highest points for resolving the MAP (TP cases) mutually among them as compared to their total MAP caseload. The OECD has further recognized Ireland (1st position) and India (3rd) jurisdictions which have shown improvement in clearing APAs in 2024 as compared to 2023.