Albania's tax authority has issued a guidance to clarify the place of supply rules for value added tax (VAT) purposes when services are supplied to non-taxable persons, including electronic services. The guidance includes that as a general rule, the place of supply for services supplied to a non-taxable person is in Albania when the supplier has in Albania:
- their headquarters of economic activity;
- a fixed place of businesses from which the service is performed; or
- their usual residence.
Further, where a supplier is not established in Albania, the place of supply is considered in Albania if the services are used by a non-taxable person in Albania. However, if services are supplied to a non-taxable person abroad, the place of supply is in the country of the recipient.
Lastly, with respect to the place of supply of telecommunications, broadcasting, and electronic services to non-taxable persons, the guidance provides that the place of supply is in Albania if the non-taxable persons receiving the services is established or has their usual residence in Albania. This applies regardless of the location of the supplier.