TAX DESK – GEOPOST ASSISTANCE
IOSS solutions for all customers established outside the EU
Tax Desk can assist you with Geopost and its various global entities (such as DPD in UK, DPD Laser in South Africa or Jadlog in Brazil) to use IOSS and profit from its benefits. We will manage your IOSS registration, issue your unique IOSS number and prepare & submit all your monthly IOSS returns.
What is IOSS?
The Import One Stop Shop (IOSS) was introduced by the European Union (EU) on 1st July 2021 for the declaration and payment of VAT on distance sales of low value goods imported from non-EU countries or territories.
From 1 July 2021, the VAT exemption for the importation of goods into the EU with a shipment value not exceeding €22 was removed. VAT is now due on all commercial goods imported into the EU regardless of their value. Import duties for shipments with a value not exceeding €150 are exempted.
How does IOSS work?
For importation of goods with a shipment value not exceeding €150, suppliers can elect to use IOSS to report and pay the VAT.
If IOSS is used, VAT is not paid at the time of importation of eligible goods into the EU. VAT is instead paid by the customer as part of the purchase price (at check-out) and subsequently reported and paid by the seller in their monthly IOSS return.
Who can use IOSS?
The IOSS can be used by suppliers selling goods which meet all of the following conditions:
- it is a business-to-consumer (B2C) sale;
- goods are dispatched from non-EU to customers in the EU;
- the shipment value is €150 or less; and
- the shipment does not contain goods which are subject to excise duties (typically alcohol or tobacco products).
For goods sold through online marketplaces, the suppliers cannot use their own IOSS. Marketplaces should have their own VAT arrangements in place.
Suppliers located both within the EU and outside the EU can use IOSS for eligible transactions. Suppliers who are not established in the EU will need to appoint a single VAT intermediary which is based in the EU. Only one VAT intermediary can be appointed by a supplier at any given time, irrespective of the mode of transport or carriers used for the transportation and import.
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