OSS

VAT & Compliance

One-Stop Shop. An EU VAT scheme letting sellers report distance-selling VAT from one member state instead of registering in every destination country. Available since July 2021 for cross-border B2C sales below the €10,000 threshold and above through the OSS return.

The One-Stop Shop (OSS) scheme allows EU sellers to report distance-selling VAT from a single member state, simplifying compliance for cross-border B2C sales. Since its implementation in July 2021, sellers can use OSS for sales below the €10,000 threshold, avoiding the need for VAT registration in each destination country. This program is particularly beneficial for sellers targeting multiple EU markets, including DE, FR, IT, ES, PL, and CZ, as it streamlines VAT reporting through a single OSS return. However, for sales exceeding the €10,000 limit, sellers must register for VAT in each country where they sell, which can increase administrative burdens. The OSS also allows sellers to access the EU VAT refund system, facilitating quicker refunds for overpaid VAT. To leverage OSS effectively, sellers must ensure accurate reporting of sales and VAT collected, as discrepancies can lead to penalties. This program contrasts with the traditional VAT registration process, which requires separate compliance for each EU member state where sales occur.

Powiązane: VAT, Pan-EU