From 1st July 2021 Non-EU businesses selling goods valued at up to 150EUR to private customers can avail of the new Import One Stop Shop (“IOSS”) to meet their VAT filing requirements across the union.

Changes to the way VAT is applied in the EU will mean that there is no longer an exemption for parcels valued up to 22EUR. All goods sold to the EU will now be subject to VAT, calculated at the local rate of the country the customer is based in.

Selling to customers in lots of different EU countries could get quite complicated quickly, which is why the EU has introduced a scheme called the “Import One Stop Shop” (IOSS).

The IOSS allows for the filing of EU VAT in one member state. The return will include for each member state where sales were made the following information

  1. VAT rate type (e.g. standard, reduced, zero)

  2. VAT rate in the member state

  3. Total value if supplies exclude VAT

  4. VAT Due

Businesses without an EU presence will need an EU intermediary to file their IOSS returns.

Intermediary service

If your business or a client you represent are exporting goods B2C in the EU, we can provide this intermediary service to you for a set fee.

Why HLB Sheehan Quinn

Our tax team includes specialist VAT advisors who will review your VATable transaction to ensure compliance with Irish VAT law. When preparing your VAT return, we will identify any potential issues to ensure your VAT affairs are in order in advance of any Revenue queries to ensure VAT refunds are processed in a timely manner.

HLB Sheehan Quinn is part of the HLB international network of advisory firms. We offer a full suite of international tax compliance services to ensure that any non-Irish tax obligations are also met.

If you have any queries in relation to your VAT affairs or would like to speak to a member of our Tax advisory department, please contact us to arrange an introductory call or meeting. We’d be happy to hear from you.