Mid-year sales tax and VAT report: 2025

Welcome to Anrok's mid-year sales tax update for 2025. Our team of tax experts has compiled the most significant developments in taxation in the first half of this year, giving you the insights you need to navigate the ever-evolving landscape of sales tax.

The first half of 2025 has seen continued global expansion of digital taxation, with both U.S. states and international jurisdictions targeting technology services with new or increased tax obligations. Maryland has implemented a new tax on IT services, while Louisiana's digital products tax took effect at the beginning of the year. 

Internationally, several countries, including Sri Lanka, the Philippines, and Manitoba have established and extended new tax frameworks for foreign digital service providers. Meanwhile, the EU has finalized its ViDA package implementation timeline, marking the most comprehensive reconstruction of EU value-added tax (VAT) rules in recent history. These developments underscore the growing complexity of tax compliance for companies selling digital products and services across borders.

Read on for a detailed breakdown of these updates and their implications for your business. If you need assistance navigating these changes, don't hesitate to reach out to our team of experts.

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