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Sage Group plc (via Public) / E-commerce VAT in the EU has changed Here s what you need to know
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E-commerce - Image by Varun
(BRUSSELS) - New Value-Added Tax rules for online shopping enter into force on 1 July with a view to ensuring a more level playing field for all businesses and to simplifying cross-border e-commerce in Europe.
The EU s VAT system is being updated to keep pace pace with a sharp rise in cross-border e-commerce in recent years. The Coronavirus pandemic has also further accelerated the boom in online retail, and again underlined the need for reform to ensure that the VAT due on online sales gets paid to the country of the consumer.
The new rules come into force on 1 July and will affect online sellers and marketplaces/platforms both inside and outside the EU, postal operators and couriers, customs and tax administrations, as well as consumers.