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E-commerce in the EU: 3 Party Logistics and VAT

Modern e-commerce customers expect short delivery times and predictable, standardised delivery terms. For that reason, many e-commerce sellers rely on third-party logistics (3PL) partners to manage fulfilment. 3PL generally includes warehousing, packaging and shipping.

As an integrated logistics solution, 3PL providers clear benefits to e-commerce retailers. In particular, 3PL is an effective way to efficiently ship goods to multiple markets. However, sellers need to pay careful attention to the VAT implications.  The multiservice, multinational nature of 3PL can make VAT compliance fairly complex.

Source VATglobal

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