On July 1, 2021, the EU will officially implement the VAT Regulation on E-Commerce. It will abolish the policy that the Value Added Tax of goods imported into the EU is exempt from VAT if the Value of goods imported into the EU is less thanOn July 1, 2021, the EU will officially implement the VAT Regulation on E-Commerce. It will abolish the policy that "the Value Added Tax of goods imported into the EU is exempt from VAT if the Value of goods imported into the EU is less than (or equal to) 22 Euros", and impose VAT (a kind of Tax in the EU) on all goods imported into the EU. Domestic referred to as value-added tax).
Sellers who sell through electronic ports (such as Amazon, etc.) should pay attention to carefully read relevant platform policies. Sellers from independent stations should go to The electronic portal IOSS (The Import One-Stop Shop, One-stop Import) to register as soon as possible, so as not to affect subsequent transactions. The review time of IOSS registration related content is about 5-7 weeks. According to the official website of the European Commission (https://ec.europa.eu/), IOSS will be open for registration on April 1 this year and will be used after July 1.
If the seller is not registered with IOSS, the buyer must pay VAT as well as customs clearance fees normally charged by the carrier.
Under the new EU VAT rules, the value of the goods on an order is identified as "unit price (excluding VAT)" in the order details. For the whole order, this is the price of the goods sold, excluding customs duties and any charges, such as freight and insurance, that are listed separately on any invoice.
To fulfill the e-business obligation of value-added tax for long-distance sales of goods exported to EU, the applicant shall declare once a month, and the scope of application is as follows:
? Sent or transported from outside the EU at the time of sale;
? Delivered or transported goods worth no more than 150 euros;
? There is no consumption tax (usually for alcohol or tobacco products).
VAT is not payable in the following cases:
? The seller sells several pieces of goods to the same buyer, which cost more than 150 euros to pack and ship. These goods will be taxed when imported into the EU;
? The long-distance selling of sellers' goods is facilitated by electronic ports, such as marketplaces or platforms. In this case, the electronic port is responsible for paying VAT. (For example, Amazon will withhold goods from the platform by the seller)
In addition, the seller's use of DDP/DDU may result in different taxes, please consult your own logistics carrier for details.
Note: The new VAT change does not apply to the following areas:
Mount Athos, Canary Islands, French Territories of Guadeloupe, French Territories French Guiana, Martinique, Reunion, Saint- Barthelemy, Saint-Martin, Aland Islands, Campione D 'Italia, Italian Waters of Lake Lugano, Island of Heligoland, Territory of Italy Busingen region, Ceuta Ceuta, Melilla Melilla, Livigno Livinho
2021.6.25
