Grow your ecommerce by selling to the EU
December 16, 2022
Do you want to expand your sales to the EU but don't have an IOSS representative? Don't worry, there is still time. Let's review a bit.
Since last year, the European Union has implemented new Community Trade rules. It is of interest to all companies importing their products into the European Union. Sellers must now charge VAT on all goods and declare each package.
The European Union has created a new special regime called Import One Stop-Shop (IOSS) for distance sales of low-value goods imported from third countries. But there is one small detail you should know. If your company is not located in the EU, you will need to appoint an intermediary (such as Crossborderit) to be responsible for collecting and fulfilling VAT for you.
What are the regulations for importing into the EU?
Sellers in the rest of the world must charge VAT on all products they sell to EU customers. VAT rates vary by EU member state. Therefore, you must determine the VAT rates of the product for all EU countries to which you ship.
In addition, you must customs declare all goods entering the EU regardless of their value. Consequently, when you sell to customers in any of the 27 EU member states, you must file a customs declaration.
Why should I choose Crossborderit to register with IOSS?
If you are an online retailer outside the EU, you cannot register directly with IOSS. If you want to register with IOSS, you need a financial representative. In other words, you require a VAT agent registered in the EU.
Crossborderit will execute your IOSS entries and fulfillment without managing a complicated pricing structure and evasive integrations. In addition, Crossborderit (CBIT) integrates with Shopify and now WooCommerce, allowing merchants to calculate taxes at checkout, report shipments using their CBIT IOSS number, and enter EU countries under the new “one-stop-shop” rules.
Crossborderit (CBIT) is here to help-learn more about our IOSS service here!