What is IOSS?

What is IOSS?

The Import One-Stop Shop (IOSS) is the electronic portal businesses can use since 1 July 2021 to comply with their VAT e-commerce obligations on distance sales of imported goods.

According to the VAT rules applicable up until 1 July 2021, no import VAT has to be paid for commercial goods of a value up to EUR 22.

The new VAT e-commerce rules abolish this provision as of 1 July 2021. Thus, from 1 July 2021, all commercial goods imported into the EU from a third country or third territory is subject to VAT irrespective of their value.

The IOSS allows suppliers and electronic interfaces selling imported goods to buyers in the EU to collect, declare and pay the VAT to the tax authorities, instead of making the buyer pay the VAT at the moment the goods are imported into the EU as it was previously the case (for products over 22 EUR).

Sellers registered in the IOSS need to apply VAT when selling goods destined for a buyer in an EU Member State. The VAT rate is the one applicable in the EU Member State where the goods are to be delivered. Information on the VAT rates in the EU is available on both the European Commission website and on the websites of national tax administrationsSearch for available translations of the preceding linkEN•••.

From 1 April 2021, you can register businesses on the IOSS portal of any EU Member State. If businesses are not based in the EU, they will normally need to appoint an EU-established intermediary to fulfil their VAT obligations under IOSS. The IOSS registration is valid for all distance sales of imported goods to buyers in the EU. You can start using the IOSS only for the goods sold as from 1 July 2021.

What you need to do if you use the IOSS?

Online Sellers

  • provide the information required for customs clearance in the EU, including the IOSS VAT identification number to the person declaring the goods at the EU border;
  • show/display the amount of VAT to be paid by the buyer in the EU, at the latest when the ordering process is finalised;
  • ensure the collection of VAT from the buyer on the supply of all eligible goods with final destination in an EU Member State;
  • make sure that eligible goods are shipped in consignments not exceeding the EUR 150 threshold;
  • to the extent possible, show on the invoice the price paid by the buyer in EUR;
  • submit an electronic monthly VAT return via the IOSS portal of the Member State where you are identified for IOSS;
  • make a monthly payment of the VAT declared in the VAT return to the Member State where you are identified for IOSS;
  • keep records of all eligible IOSS sales and/or sales facilitated over 10 years;


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      Once you have proceeded to the checkout, enter the address as normal. When you have selected the country of delivery, you will see another box appear called IOSS. Your IOSS number begins with an IM which you need to enter and will look like ...