The EU VAT rules for e-commerce will change on 1 July 2021. In order to create a level playing field for online retailers and web shops established inside and outside of the European Union, all B2C sales of goods will become subject to VAT in the EU country where the customer receives the goods.
Key changes:
- All B2C sales of goods will be subject to VAT in the country where the goods are received.
- The seller is required to charge, collect and pay this local VAT.
Without any special rules, this means that the seller would have to register for VAT in the country where the customer receives the goods.
For goods coming from a non-EU country, a special scheme will be available, the iOSS (import One Stop Shop). This scheme enables the non-EU seller to obtain an EU VAT registration in a single EU country and report the local VAT due on the B2C sales via a local platform. Non-EU sellers who want to use the iOSS rules, are obliged to appoint a ‘VAT Intermediary’.
Interested to learn more about the new VAT rules and the iOSS scheme? What is the latest update in the EU? And should you use this iOSS-scheme at all or are there other options?
Sign up for the webinar on June 2nd and we’ll tell you all about the developments.
Register HERE
