One Stop Shop, OSS | VAT

What is the One Stop Shop (OSS)?

Starting from the 1st of July, 2021 the application of the mini one-stop shop will be expanded. In other words, entrepreneurs and professionals who provide different services, such as distance selling or certain national deliveries, to final consumers established in a EU Member State other than where the entrepreneurs or professionals are located will have to formalize the “one-stop shop” (One Stop Shop, OSS).

The One-Stop-Shop is divided into three optional categories, which are referred to B2C operations:

• Regime EU-OSS

• Regime U-OSS

• Regime I-OSS

This helps those entrepreneurs who provide services or deliver goods to consumers across Europe to simplify the VAT procedure. They do not need to register in each Member State of consumption, but will be able to:

1. register for VAT purposes electronically in a single Member State for all qualifying sales of goods and services made to customers located in any of the other Member States;
2. submit a single electronic VAT return in the Member State of identification and settle in a single payment the VAT accrued for all these sales of goods and services.

What is the Member State of Identification?

It refers to the Member State in which the entrepreneur or professional registers to finalize operations with the final consumer (B2C) and apply the one-stop-shop regime. This State is determined by the headquarters or establishment of the employer or professional, or, where appropriate, by the intermediary.

What is the Memeber State of Consumption?

The Member State of Consumption (EMC) refers to that State in which the operations to which each Scheme applies take place are taxed. In particular:

• The Regime EU-OSS applies to those states in which operations are carried out.

• The UOSS is applied differently depending on the benefits:

In the case of services, it is applied in those States in which the provision of services is considered to take place.

In the case of intra-community distance sales of goods, in is applied in those States of arrival of the dispatch or transport of the goods to the customer.

In the case of certain national deliveries of goods by electronic interfaces, when the dispatch or transport of the delivered goods begins and ends in the same Member State, it is applied in that Member State.

The IOSS it is applied to those States of arrival of the dispatch or transport of the goods to the customer

If you want additional information about the One-Stop Shop, Who can I talk with?

Yes, you can contact the Tax Agency through the email addresses that you can find on the Tax Agency page.

In addition, we from Epinium together with Datali and in collaboration with Roicos are planning a Masterclass to give you all the information you need. Subscribe to our Newsletter to stay updated.

FAQ: One Stop Shop (OSS) and VAT

When did the expanded One Stop Shop (OSS) regime take effect?

From July 1, 2021, entrepreneurs and professionals selling to consumers in other EU Member States had to formalize under the expanded One Stop Shop (OSS) scheme.

What are the three OSS regimes and who do they apply to?

The EU-OSS regime, the U-OSS (Union) regime, and the I-OSS (Import) regime — all optional categories covering different types of B2C cross-border operations within the EU.

What two things does OSS let a business do instead of registering in every EU country?

Register for VAT electronically in a single Member State for all qualifying B2C sales across the EU, and submit one electronic VAT return in that Member State, settling the VAT for all those sales in a single payment.

How is the Member State of Identification determined?

It’s determined by where the entrepreneur or professional has their headquarters or establishment, or by the intermediary’s location where applicable — this is the State where they register to apply the OSS regime.

Who can I contact for more help understanding the One Stop Shop rules?

You can reach the Tax Agency directly through the email addresses listed on its website; Epinium, together with Datali and in collaboration with Roicos, was also planning a Masterclass on the topic for anyone who subscribes to their newsletter.