VAT OSS and IOSS
Charge the buyer's country VAT rate and file through one return.
The platforms can calculate destination VAT rates at checkout, which covers the charging side. The filing side, the quarterly OSS return, sits in accounting software or with a tax adviser. Sellers outside the EU need an intermediary to use IOSS.
- Legal basis
- Council Directive (EU) 2017/2455 · Council Directive (EU) 2019/1995
- Who it binds
- Any seller with more than €10,000 a year of cross-border B2C sales inside the EU must charge the VAT rate of the buyer's country and can file it all through the One Stop Shop. Sellers importing consignments up to €150 to EU consumers can use the Import One Stop Shop to charge VAT at checkout instead of at the border.
- Who is exempt
- Below the €10,000 threshold, home-country VAT applies. B2B sales use reverse charge instead.
- Penalty
- Back taxes, interest and penalties in each country where VAT was under-charged; customs holds on IOSS-less parcels.
Does the platform cover it?
| Platform | Native coverage | Note |
|---|---|---|
| Shopify | Partial | Shopify Tax and Markets charge destination VAT rates and support IOSS numbers at checkout; the OSS return itself is filed outside the platform. |
| WooCommerce | Partial | WooCommerce Tax or a tax plugin charges destination rates; filing is outside the platform. |
| Wix | Partial | Wix can apply per-country VAT rates; filing is outside the platform. |
Apps on Shopify
| App | Price | Rating | Adoption | |
|---|---|---|---|---|
| Quaderno: Taxes & E-Invoicing | — | 5 | 11 |
Apps on WooCommerce
Apps on Wix
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