IOSS: extended helping hand for retailers selling to EU countries

January 14, 2022

The VAT OSS and IOSS systems focus on identifying/registering member states for compliance with online sales tax obligations relevant to the region in the copper community.

In particular, the online seller declares and pays all taxes to the selected member state, which then forwards refunds and recurring payments to the respective consuming country. The latter party is responsible for the control phase by applying its own laws.

IOSS is a new VAT payment model for the import of goods into the EU, which can only be used for shipments up to EUR 150. Therefore, the customer pays VAT when purchasing goods. Then, the e-shop passes the paid VAT to its representative, who is specifically registered for VAT purposes in only one EU member state.

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 "one stop shop" rules.

The current Crossborderit application allows automatic reporting of IOSS shipments. Future versions will allow VAT collection at checkout.

Crossborderit's Shopify application costs $24 per month. When this fee is charged on Shopify, it will replace the $19.99 fee Crossborderit charges for access to the CBIT system. This access includes all reporting, compliance and system access.

Simply sign up and let Crossborderit take care of the rest.

Damon Baca


Crossborderit (CBIT)