- Even tiny digital sales can trigger major EU VAT compliance obligations because there is no registration threshold for digital services.
- Since 2015, VAT on digital products sold to EU consumers must be charged based on the customer’s location.
- The EU’s One-Stop Shop (OSS) lets businesses register in one member state and report all EU sales through a single quarterly return; non-EU sellers can use the non-Union OSS.
- Businesses must verify customer location using evidence such as IP or billing address and keep records for 10 years.
- Upcoming ViDA reforms will add mandatory e-invoicing and broader platform responsibilities.
Source: news.bloombergtax.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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