What's important for Non-EU merchants
Since 1 July 2021, new import regulations apply in e-commerce: For imported consignments with a value of up to 150 euros sent by a merchant from a non-EU country to private individuals (B2C) in EU Member States, it is possible to report and pay the corresponding value added tax (VAT) for all EU Member States uniformly in one special tax return in only one EU Member State.
For this purpose, companies have the option of registering for a special taxation procedure – the so-called Import-One-Stop-Shop procedure (IOSS procedure for short).
If the supplies rendered by merchants consists exclusively of the dispatch of goods to private individuals and they have neither warehouses nor permanent establishments in the EU, registering for the IOSS procedure can even avoid a VAT registration – a significant advantage for companies from non-EU countries.
For companies that do not have an European affiliate, a basic requirement for the IOSS procedure is to appoint a representative through whom registration can take place and who will file the IOSS returns with the tax authorities. This is a major challenge for many companies.
Professional support in all IOSS matters
PwC supports you with the registration for the IOSS procedure and the fulfillment of your VAT compliance obligations in the EU.
We take care of the preparation and submission of your monthly VAT returns in a straightforward process. Thereby, we rely on a trustworthy service partner who acts as a representative towards the EU tax authorities.
Our IOSS Reporting Service at a glance
Our team of IOSS specialists will take care of the registration. You simply fill out the digital IOSS questionnaire on our online platform and we take care of the rest.
Filing the IOSS return
You provide us with your monthly EU sales figures on our online platform and we prepare your tax returns, which are then submitted to the tax authorities by our service partner.
Provision of information on VAT payments
Our service provider will promptly inform you about the payment modalities for the VAT to be paid.
Communication with Tax Authorities
We receive all incoming mail from the tax authorities. We inform you about the content and any necessary action and, if requested, are happy to assist in further processing and responding to enquiries.
We advise you on important changes in the individual countries that are relevant to your company and support you in implementing them.
Tax expertise by PwC
- Clarification of VAT issues regarding consignments of goods with a value over 150 euros
- Support in the business development and expansion of intra-European transactions
- Advice on other tax issues
You benefit from ...
Completing all your compliance obligations takes just a few minutes every month.
The IOSS Reporting Service enables a simplified import process.
Meanwhile, we take care of your VAT compliance.
Prices are based on the number of packages to be registered per year through our IOSS Reporting Service.
Register now for PwC's IOSS Reporting Service
Please enter your business email address to receive more information on our service. We will contact you as soon as possible.
What does the abbreviation IOSS stand for?
The abbreviation stands for Import-One-Stop-Shop ("IOSS").
Why should I use the IOSS procedure?
The Import-One-Stop-Shop enables the fulfillment of VAT obligations for sales of certain imported goods to private individuals in the EU (up to a shipping value of EUR 150) to be collected, declared and paid to the tax authorities in one single VAT return.
How can I register for the IOSS procedure?
To register, it is necessary for you to fill in the questionnaire. We will take care of the rest. With our IOSS Reporting Service, registration is done in an instant.
How long does the IOSS registration process take?
The registration should be completed by the tax authorities within 3–5 working days.
What is an IOSS number?
All merchants participating in the IOSS procedure receive the IOSS number from the tax authorities upon registration. The IOSS number must be indicated in the customs declaration for imports.
How is the IOSS number structured?
The IOSS VAT number consists of 12 alphanumeric characters.
Where can I apply for an IOSS number?
You will need to fill in a registration questionnaire, which we will file with the relevant tax authorities on your behalf.
Who do I have to provide with the IOSS number?
The IOSS number must be indicated on the customs declaration. However, it should not be made publicly available, but kept "confidential" as far as possible (e.g. it should specifically not be indicated on the invoice or in the imprint).
How often do I have to submit an IOSS report?
The IOSS returns must be submitted monthly by the end of the following month. This also applies in the case of nil returns.
Is an IOSS annual return also to be submitted?
No. Only IOSS monthly returns are to be submitted, but no IOSS annual returns.
Is the VAT declaration mandatory?
For entrepreneurs registered in the IOSS procedure, the submission of monthly IOSS VAT returns is mandatory.
Do I also need to pay import VAT if I use the IOSS procedure?
By participating in the IOSS procedure, the corresponding imported goods are exempt from the payment of import VAT. It is important that the IOSS number is indicated upon import.
What advantages does the IOSS process offer me?
By applying the IOSS procedure, the VAT declaration obligations are considerably simplified, as all corresponding EU turnover is reported uniformly in one VAT return. If applicable, further VAT registrations in the EU are no longer necessary.
When should I not use the IOSS procedure?
If VAT registrations exist in the EU for any other reason, the advantage of the IOSS procedure may no longer apply. The same holds in case of significant input tax refunds. Here, an individual economic assessment must be made as to whether the advantages of the IOSS procedure continue to outweigh the disadvantages considering cash flow disadvantages that stem from using the VAT refund procedure.
For which transactions is the IOSS procedure applicable?
The IOSS procedure is applicable to merchantsfrom non-EU countries who send consignments with a value of up to EUR 150 from outside the EU to private individuals in EU Member States. Excisable goods are excluded from the IOSS procedure.
What do I do if I also have other transactions in the EU?
Other transactions not subject to the IOSS procedure must be declared under the normal declarationprocedures in the respective EU Member States – depending on the respective possible taxability.
How do I correct an IOSS declaration that has already been submitted?
Corrections are to be declared in scope of the next VAT return due. However, the corresponding corrections must be declared in a separate sheet. If the underlying sales are older than three years, a correction needs to be reported in the EU Member State concerned outside the IOSS procedure.
What happens if the IOSS declaration is not submitted in time?
The IOSS declarations must be submitted one month after the end of the taxation period. If the participating entrepreneur or its representative repeatedly fails to fulfill its obligations or fails to do so in time, the entrepreneur may be excluded from the IOSS procedure.
What happens in case of late payment in the IOSS procedure?
In case of recurrence, there is a risk that the entrepreneur will be excluded from the IOSS procedure.
What are the penalties for submitting false IOSS declarations?
The participating entrepreneur is obliged to submit the IOSS declarations properly and may be excluded from the IOSS procedure in case of repeated violations.
Who can I contact if I have any questions?
We are happy to help you via our contact form.