IOSS and EU trade rules: Crossborderit has a sustainable solution

December 16, 2022

Customs and logistics processes are one of the key issues in e-commerce. However, problems currently exist in many areas. The slow digitization of customs authorities, tax evasion through dumping prices or the tense situation in Chinese ports and its possible fatal effects on the Christmas business are just a few examples. In addition, retailers have continuously had to deal with new regulations in the area of customs and logistics in recent years.

The Brexit and now the EU reform that has recently come into force alone have a major impact on cross-border e-commerce processes. The EU reform, also known as the digital VAT package, affects customs declarations, import duties and market responsibility, among other things.

What exactly do these changes mean for retailers and how should they adapt their processes accordingly?

One of the biggest changes due to the EU reform is the new notification procedure. Electronic customs declarations are mandatory as of July 1, 2021. Every import shipment must be reported accordingly in writing (digitally). The only exceptions are travel where customs declarations can still be made orally. For a goods value of up to EUR 150, a "small customs declaration" with a reduced data record is sufficient.

How Crossborderit can help you

Shipping goods to the EU has become more complex and companies have to change the way they do business or lose customers in the EU.

Crossborderit has developed a service to calculate taxes and duties. If added to the online store, it will allow full display of VAT and other taxes payable in the marketplace cart. The Crossborderit database includes VAT, tax rates, minimums and active free trade agreements for most countries in the world.

Crossborderit (CBIT) is a growing global company that helps millions of individuals and businesses operate in the global e-commerce marketplace. CBIT is a pioneer in preparing for new trade regulations in the European Union.

Crossborderit (CBIT) integrates with Shopify. The Crossborderit app, along with Shopify's tax and duty calculator, allows merchants to calculate taxes at checkout, report shipments using their CBIT IOSS number, and enter EU countries under the new “Import One Stop Shop" rules.

Damon Baca


Crossborderit (CBIT)