- Online sellers commonly require local VAT registration where they hold inventory, import goods in their own name, transfer stock between countries or make domestic sales from local stock. The assessment depends on the complete transaction flow—including the dispatch location, storage country, importer of record, customer type and sales channel—rather than the seller’s website location or checkout currency.
- The Union OSS can simplify eligible intra-EU B2C distance sales by allowing VAT to be reported through one Member State, but it does not replace registrations triggered by local inventory, imports, own-stock transfers or domestic sales. IOSS may apply to eligible goods imported directly to EU consumers in consignments not exceeding €150, excluding excise goods.
- Marketplace VAT collection only shifts liability where the platform is legally treated as the deemed supplier. Sellers must separately assess inventory, imports, B2B transactions, wholesale supplies and direct-store orders. The €10,000 EU threshold is limited to qualifying EU-established sellers, while the optional cross-border SME scheme is subject to a €100,000 EU-wide turnover ceiling and national conditions.
Source VATAI
Click on the logo to visit the website
