On Wednesday, 7th July, the BOKS tax committee hosted a webinar on the subject of the VAT One-Stop-Shop regime.

The VAT One-Stop-Shop regime aims to simplify and speed up commerce for businesses supplying goods and services into EU countries.

These rules apply to business in any country – so has relevance to all BOKS members and their clients.

Upcoming changes go live in July.

The key takeaways from this event were:

  • An overview of the two new schemes introduced by the EU wef 1st July 2021 which facilitate the collection, declaration and payment of VAT by EU commerce businesses selling goods or services to EU end consumers.
  • The schemes known as IOSS and OSS simplify the issues of VAT registration along with the declaration and payment of VAT to the various EU Tax Authorities by allowing a business to register in one member state.
  • Businesses need to be aware of where their EU final consumers are resident/ order the goods or services from, in order that they apply the correct VAT rate for those goods/ services.
  • By registering for IOSS, the need for payment of import VAT at the EU border on goods with a consignment value <€150 is avoided.
  • Members have the opportunity to discuss these changes with clients to identify those who need to take action by using these schemes for their EU VAT compliance.