IOSS im Dropshipping-Geschäft in Europa: Alles, was du wissen musst

IOSS in the dropshipping business in Europe: everything you need to know

Note: Please note that we are not a lawyer or tax advisor. The following information is not intended as legal or tax advice. We recommend that you consult a subject matter expert for specific questions.

The IOSS (Import One-Stop Shop) system plays an important role in the dropshipping business in Europe. It is a mechanism that makes it easier for online retailers to collect value-added tax (VAT) on their cross-border sales to final consumers in the European Union (EU). In this blog post, we will answer some basic questions about the IOSS.

What is IOSS Dropshipping?

IOSS Dropshipping refers to the use of the IOSS system in the dropshipping business. In dropshipping, the retailer does not buy the products in advance, but only when an order is received. The supplier or wholesaler ships the products directly to the end customer. The IOSS system makes it easier for the trader to collect and remit the correct VAT on these cross-border sales.

Is IOSS mandatory?

As of July 1, 2021, the IOSS is mandatory for many companies selling cross-border into the EU. It particularly affects companies outside the EU that sell goods worth less than 150 euros to end consumers in the EU. However, it is possible to use the IOSS on a voluntary basis, even if it is not mandatory. Using IOSS can provide benefits such as faster customs clearance and an improved customer experience.

When do I need an IOSS number?

If you are an online retailer selling goods with a value of less than 150 euros to end consumers in the EU, it is advisable to apply for an IOSS number. With this number you can collect the correct VAT on your sales and pay it to the relevant tax authorities. The IOSS number also allows customs authorities to facilitate the clearance of goods.

Who needs IOSS?

IOSS mainly affects companies that sell cross-border into the EU and supply goods to end consumers. In particular, online retailers outside the EU who make sales with a value of less than 150 euros to customers in the EU should consider the IOSS system. The IOSS enables them to collect and manage the correct VAT, resulting in smoother processing of their cross-border sales.

Conclusion

The IOSS system is an important mechanism for the dropshipping business in Europe. It makes it easier for online retailers to correctly handle VAT for their cross-border sales to end consumers in the EU. Although tax topics can often be complex and intimidating, don’t let that scare you away. With the help of subject matter experts and proper information gathering, you can understand and implement IOSS requirements. By familiarizing yourself with the necessary steps and taking the right actions, you can ensure that your dropshipping business runs smoothly and legally compliant.

We hope that this blog post has given you a basic overview of the IOSS system in the dropshipping business in Europe. If you need more information, we are at your disposal.