The new EU VAT and customs rules will completely change the way online sellers, e-commerce, retailers, marketplaces, etc. declare and pay VAT, collect tax and customs data, collect duties and tariffs.
The aim of these changes is to streamline the customs and VAT collection process. In addition to reducing fraud, this creates a totally new and satisfying experience for customers as a fully transparent process will be created.
This major change starts in July 2021, where the EU will introduce the Import One-Stop Shop, (IOSS) in addition to eliminating VAT on non-excess products at EUR 22.
What is the IOSS scheme?
IOSS is an electronic portal through which online sellers can declare and pay VAT monthly on distance sales of imported goods to buyers in the EU.
It will mean that VAT charges are clearly displayed for customers and it also means that buyers are only charged once, at the time of purchase, so there are never any hidden fees for ecommerce customers.
How does Crossboderit support retailers?
All shipments under €150 will require this new IOSS support. Crossborderit can run your IOSS and fulfillment entries without managing a complicated pricing structure and evasive integrations.
Crossborderit has a simple solution. We help with all aspects of Classification, Calculation, and we will even collect the duties and pay them on entry so there are no delays. The customer knows what they are going to pay when they buy the product. Customs is paid accurately allowing the package to be delivered just like a domestic shipment.
Apply easily for IOSS representation through Crossboderit CBIT onboarding site.