OSS (One-Stop Shop)

What Is the One-Stop Shop?

The One-Stop Shop (OSS) is an EU VAT scheme introduced on 1 July 2021. Instead of registering for VAT in every member state where your customers live, you file one quarterly OSS return in a single member state, and that tax authority passes the VAT on to the others.

The €10,000 Threshold

The old per-country distance-selling thresholds were replaced by a single EU-wide threshold of €10,000 a year in cross-border sales to consumers. Above it, VAT is due at the rate of the customer's country, which is what OSS is designed to report. The threshold is only open to a seller established in a single EU country who ships from that country and whose cross-border sales stayed under €10,000 in both the current and the previous calendar year; below it, that seller keeps charging the home-country rate. Sellers based outside the EU, or shipping from stock held in another member state, charge the customer's-country rate from the first sale.

What OSS Does Not Cover

OSS deals with where you sell, not where you store. Holding stock in another EU country - which is how Pan-European FBA works - still requires a local VAT registration in that country.

IOSS

The Import One-Stop Shop (IOSS) is the companion scheme for goods shipped to EU consumers from outside the EU in consignments worth up to €150, so VAT is collected at the point of sale rather than from the customer on delivery.

How SellerLegend Helps

SellerLegend lets you set VAT rates per marketplace or per product, with time-based periods, and calculates the tax amounts in your P&L and profitability reports.