The buying and selling of goods and services online has seen a massing increase in recent years and is still predicted to keep growing. The surge of Chinese sellers, rise of marketplaces and Brexit has caused new borders and a further increase of the need for change when it comes to VAT. Sometimes due to deliveries outside of the EU community area EU consumers can receive nasty surprises in the form of Import VAT and additional duties when buying abroad.
The new e-commerce rules for VAT are changing to help recover VAT, stop fraud and make things clearer for EU consumers when buying.
How are EU consumers effected?
EU citizens will be positively affected under the new system, Under the new system benefits will range from less tax fraud, more public revenue and making trade a fair competition. As a consumer you will not be required to do anything extra in regards to the new rules and will not be obliged to change your shopping habits but you should be aware on how the new rules affect you.
The new rules bring transparency on your purchases from oversea’s. When purchasing goods under 150 EUR from applicable sellers using the new Import One Stop Shop you will see the final price you pay on their website or marketplace with no additional hidden fee’s such as custom duties or VAT, this will all be accounted for by the seller.
