- The One-Stop Shop (OSS) is an EU VAT compliance scheme established in July 2021 that simplifies VAT declaration and payment for cross-border B2C sales, allowing businesses to report sales in a single EU member state instead of registering in each country, thus reducing administrative burdens and enhancing compliance.
- There are three OSS variants: the Union OSS for EU businesses, the Non-Union OSS for non-EU digital service providers, and the Import One Stop Shop (IOSS) for non-EU sellers of low-value goods, all designed to support the increasing trend of digital cross-border trade and improve tax compliance.
- The integration of electronic invoicing (e-invoicing) with OSS enhances efficiency, accuracy, and compliance in VAT reporting, providing real-time data validation and reducing errors. While businesses registered under OSS are generally exempt from local e-invoicing obligations in countries like Romania and France, registration for local VAT or engaging in domestic transactions may trigger those requirements.
Source VAT IT
