MEDIA RELEASE

Nomad Stays Seeks Annulment of Deemed Supplier Regime VAT Provisions in ViDA

Release Date: Wed 18-Jun-2025

Paris, France – 18 June 2025 – Nomad Stays, a leading digital nomad accommodation platform, has officially challenged the Deemed Supplier Regime (DSR) Provisions in the VAT in the Digital Age (ViDA) directive, requesting their annulment before the Court of Justice of the EU.

The legal action, filed against the Council of the European Union, contests key provisions that fundamentally alter VAT treatment for short-term rental (STR) platforms. Nomad Stays argues that the new rules impose unjustified regulatory burdens, and fail to respect fundamental legal principles.

“These provisions are based on the incorrect assumption that STR services are in direct competition with, and operate identically to hotels. They disregard the diversity of digital nomad accommodation offering” stated Aymeric de Moncuit, partner at Mayer Brown and legal representative of Nomad Stays. “The new VAT regime threatens economic viability for independent operators, contradicting essential principles of fiscal neutrality and legal certainty.”

The company’s challenge is based on seven key legal arguments, including manifest errors of assessment, infringement of the principles of proportionality and equal treatment, and violations of fiscal autonomy and subsidiarity. Nomad Stays emphasizes that the directive introduces unnecessary administrative complexity, jeopardizing the digital economy’s innovative ecosystem.

As the case moves forward, Nomad Stays urges policymakers to re-evaluate the approach to VAT regulations for digital platforms, advocating for solutions that protect entrepreneurship and innovation while ensuring fair competition.

For further information or media inquiries, please contact: Nomad Stays Media Relations