Croatia Consults on Initial ViDA-Related Amendments to its VAT Act

Croatia consults on first national amendments implementing ViDA VAT reforms

Summary

Croatia has proposed amendments to its VAT Act to implement elements of the EU VAT in the Digital Age package, particularly changes to OSS, IOSS, platform rules, and transfers of businesses’ own goods. [europe.tho…euters.com], [globalvatc…liance.com]
The proposal is a draft, with public consultation open until August 30, 2026; principal changes would start from January 1, 2027, with additional measures from July 1, 2028. [globalvatc…liance.com], [fiscal-req…ements.com]
Cross-border sellers, non-EU service providers, online platforms, and businesses moving inventory between EU Member States should assess whether VAT registrations and OSS/IOSS reporting processes may change. [vatupdate.com], [globalvatc…liance.com]

Extended article

Partial implementation of the ViDA package

Croatia’s Ministry of Finance has opened consultation on draft VAT Act amendments designed to transpose part of Council Directive (EU) 2025/516. The proposal remains subject to consultation and legislative approval and should not yet be treated as enacted law. [globalvatc…liance.com], [fiscal-req…ements.com]

The proposed changes include clarification of the EUR 10,000 threshold for intra-EU distance sales and specified digital services. The threshold would focus on qualifying supplies dispatched or provided from the Member State where the business is established. Businesses could elect to tax supplies in the Member State of consumption instead, with the option generally binding for two calendar years. [vatupdate.com], [fiscal-req…ements.com]

The non-Union OSS regime would be extended to cover a broader range of B2C services supplied in the EU by providers established outside the Union. The draft also addresses VAT recovery by non-EU taxpayers using OSS and proposes restrictions on the use of IOSS by taxpayers participating in the special VAT scheme for small enterprises. [globalvatc…liance.com], [fiscal-req…ements.com]

Inventory movements and platforms

From July 1, 2028, transfers of a business’s own goods between Member States would be reportable through an adapted OSS mechanism. Existing call-off stock arrangements initiated by June 30, 2028 would continue under transitional rules until June 30, 2029. [vatupdate.com], [fiscal-req…ements.com]

The draft would also broaden deemed-supplier treatment for certain online platforms facilitating supplies by non-EU sellers. Platforms and marketplace operators should assess whether their VAT calculation, invoicing, seller onboarding, and transaction-reporting responsibilities could expand.

Relationship with Fiscalization 2.0

These proposed VAT amendments sit alongside Croatia’s existing Fiscalization 2.0 regime. Croatia already introduced mandatory domestic B2B e-invoicing and fiscalization from January 1, 2026 for VAT taxpayers, while the current consultation primarily concerns ViDA-related VAT rules for cross-border and special-scheme transactions. [europe.tho…euters.com], [forvismazars.com]

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Summary

Croatia’s Ministry of Finance has opened a consultation on draft VAT Act amendments intended to implement elements of Council Directive (EU) 2025/516. The proposed changes would generally apply from 1 January 2027, while transitional rules for call-off stock and specified energy supplies would continue until mid-2028.
The proposal expands the deemed-supplier rule for electronic interfaces, broadens the non-EU One-Stop Shop to all qualifying B2C services supplied in the EU and clarifies which distance sales count toward the EUR 10,000 cross-border B2C threshold.
Businesses operating platforms, holding stock in several Member States, supplying cross-border consumer services or selling gas, electricity, heating or cooling should examine the draft. The consultation closes on 30 August 2026, and the wording may change before legislation is submitted for adoption.

Article

Croatia’s Ministry of Finance has published draft amendments to the VAT Act as part of the country’s implementation of the first phase of the European Union’s VAT in the Digital Age, or ViDA, reforms. The draft is subject to public consultation until 30 August 2026 and should therefore be treated as a proposal rather than enacted law.

One significant amendment concerns electronic interfaces. The deemed-supplier rule would be extended where an online platform facilitates supplies of goods by a seller not established in the European Union. In addition to supplies to non-taxable consumers, the rule would cover sales to taxable persons and non-taxable legal persons whose intra-Community acquisitions are not subject to VAT. Platform operators may therefore need to revisit customer-status controls, transaction mapping and VAT collection responsibilities.

The proposal also prepares for the withdrawal of the EU call-off stock simplification. Croatia’s existing rules would continue to cover qualifying dispatches made on or before 30 June 2028. Businesses using call-off stock arrangements should identify affected inventory flows and prepare for the future One-Stop Shop mechanism for transfers of own goods.

The EUR 10,000 threshold applicable to certain cross-border B2C supplies would be clarified. When calculating the threshold for intra-EU distance sales, only goods dispatched from the Member State in which the supplier is established would be included. Distance sales from inventory located in another Member State would be excluded. This distinction is particularly relevant to e-commerce businesses using regional fulfilment centres or holding stock in multiple EU countries.

The draft would additionally extend the non-EU OSS scheme to all B2C services supplied within the European Union by providers not established in the EU. This should allow a broader range of service providers to report VAT centrally rather than registering separately in each Member State of consumption.

From 1 January 2027 through 30 June 2028, specified supplies of gas, electricity, heating and cooling would temporarily be treated as intra-Community distance sales, allowing reporting through the EU OSS. These transactions are expected to move into the normal expanded OSS framework from 1 July 2028.

Affected businesses should compare the proposal with their current platform logic, OSS registrations, stock arrangements and threshold calculations. The public consultation document was not independently located in indexed official search results, so the final Croatian text and any consultation responses should be checked directly through the Ministry’s consultation portal.

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