IOSS (Import One-Stop Shop)
VAT one-stop shop allowing online sellers to collect and remit import VAT for shipments ≤ 150 EUR.
IOSS — Import One-Stop Shop
IOSS is a VAT one-stop shop set up by the European Union on July 1, 2021 as part of the “VAT e-commerce package”. It allows online sellers and platforms to collect VAT from the buyer at the time of sale and remit it via a single monthly declaration in a single Member State.
Operation
The seller registers with IOSS in a Member State. When selling, it charges VAT at the rate of the country of destination. The shipment is imported exempt from VAT upon arrival in the EU, since this has already been collected. The seller remits VAT monthly via the IOSS portal.
Conditions
IOSS is reserved for shipments with an intrinsic value ≤ 150 EUR sent from a third country to a consumer in the EU. It does not cover products subject to excise duty.
Advantages
For the consumer: no surprise VAT on delivery, transparent price. For the seller: only one VAT registration in the EU. For logistics: accelerated customs clearance (no VAT collection by the carrier).
IOSS number
The IOSS identification number must appear on the H7 customs declaration. It starts with “IM” followed by 10 digits.
Evolution
With EU customs reform and ViDA, IOSS will be extended and could become mandatory for all distance sales of imported goods.