Filing of periodic self-assessments. Model 369

As of July 1, 2021, the exemption on the import of goods with a value of less than €22 disappears, so that all commercial goods imported into the EU , regardless of their value, they will have to pay the VAT on the corresponding import.

In this context, a special single window regime is simultaneously created for distance sales of imported goods with a value not exceeding €150, so that, if this regime is applied, instead of taxing the import (which would be exempt ), only the delivery at destination is taxed, facilitating the declaration and payment of the VAT accrued on sales through a single declaration in the Member State of identification.

In particular, this regime known as the "import regime" allows the taxable person of the delivery (whether the supplier who owns the good sold, or an electronic interface that, although it does not own the goods, is considered a taxable person for facilitating its delivery), that charges the customer the VAT accrued for said distance sales and that it declares and enters it through a single window system for imports (IOSS). The consumer receiving the imported good, instead of paying the VAT on importation to the customs authority, pays the tax as part of the acquisition price.

The import regime covers distance sales of imported goods of low value, which are deliveries of goods in which:

• the goods are dispatched/transported from a third country or third territory at the time they are delivered to the private customer, and

• These goods are shipped in a shipment with an intrinsic value not exceeding €150, and

• the goods are transported or dispatched by or on behalf of the supplier, even if the supplier is indirectly involved in the dispatch or transport of the goods from a third territory or third country, to a customer or any other eligible person in a Member State, and

• the goods are not subject to harmonized EU excise duties (normally alcohol or tobacco products under Article 2(3) of the VAT Directive )^[1]. It should be noted that the import regime cannot be used when low-value goods are purchased or shipped together with excise goods, regardless of whether the value of the shipment exceeds €150 or not .

Intrinsic value is defined as follows:

1. For commercial goods: the price of the goods themselves when sold for export to the customs territory of the European Union, excluding the cost of transport and insurance, unless included in the price and not indicated separately on the invoice, and any other taxes and charges which the customs authorities may determine from any relevant document;

2. For goods not of a commercial nature: the price that would have been paid for the goods themselves if they had been sold for export to the customs territory of the European Union.

Any other related costs, apart from transport and insurance, that do not reflect the value of the goods themselves should also be excluded from the intrinsic value, provided they are itemised and clearly indicated on the invoice (for example, machinery costs, licensing fees, export taxes, etc.). The term "any other taxes and levies" means any tax or levy levied on the value of the goods or in addition to a tax or levy imposed on such goods.

The VAT rate of the supply of goods is that applicable to the corresponding good in the Member State where the supply takes place. In practice, this is the Member State where the customer indicates that the goods are to be delivered.

Most goods are subject to the ordinary VAT rate ; However, some are subject to a reduced VAT rate , depending on the nature of the goods and the Member State where delivery takes place. Information on VAT rates across the Union is available on the website of each Member State. The European Commission also centralizes this information in the following link: http://ec.europa.eu/taxation_customs/tedb/splSearchForm.html

The release into free circulation of goods of low value declared under the import regime is exempt from VAT provided that a valid import regime registration number is provided ( NIOSS), at the latest at the time of its customs declaration. The objective is to avoid double taxation of the same assets.

No. A supplier or an electronic interface (as a taxable person considered a supplier) cannot use the import regime to declare distance sales of goods made before 1 July 2021. Therefore, goods originating from a third country or territory acquired before July 1, 2021 (for example, in June 2021 or before) and arriving in the EU on July 1 From 2021 onwards they will be subject to VAT on import.

The NIOSS that is valid at the time of the transaction (i.e. NIOSS 1) should always be used. Please note that NIOSS 1 remains valid for up to two months after changing your Member State of Identification. This maximum period of two months allows goods lawfully sold under the IOSS (NIOSS 1) to be released into free circulation in the EU.

The NIOSS to be indicated on the customs declaration filed on August 15, 2021 will be No. 1, as it was the correct number on the date of the transaction (July 20, 2021).

This delivery must be included in the July declaration, under NIOSS 1.

If you decide to register with the IOSS, you only need to register in one of the EU Member States and can make sales in all twenty-seven EU Member States. You will have to designate an intermediary that registers you in the IOSS in the Member State where the intermediary is established. You must use the Scheme Operator Number (NIOSS) issued by the Member State in which you registered for IOSS (Identification Member State) to declare all your sales of IOSS low value goods to customers in all countries. Member States of the EU.

At the time of sale, you will have to apply to the customer the VAT rate that is levied on the goods in the Member State to which they will be shipped. When sending the goods to the customer in the EU ## , it is advisable that you securely transmit your operator number for the purposes of the import regime to the person responsible for declaring the goods for clearance for free circulation in the EU (e.g. a postal service operator, an express transport company or a customs agent), so that the is not paid again VAT ##3##to the EU customs authorities when the goods are imported. You must not transmit this operator number for the purposes of the import procedure to parties other than those involved in declaring the goods for release into free circulation. Customs authorities will fulfill their obligations to ensure compliance with customs legislation and other regulations that regulate the movement of goods across borders without establishing or collecting VAT .

Each month, the intermediary who registered you with the IOSS will have to submit an IOSS VAT return before the end of the month following the reference month (for example, for sales of September, the IOSS VAT return must be submitted by October 31). The IOSS VAT declaration contains all IOSS sales of low value goods made in the EU , broken down by Member State of destination and by VAT rate , and indicates the total VAT due in the EU. Likewise, before the end of the month following the reference month, the intermediary must pay to the Member State of identification the full amount of VAT appearing in the VAT declaration from IOSS (e.g. for September sales, payment must be made by October 31).

You must retain reliable evidence of sales of goods made through your online store and through the electronic interface. If you decide to register with the IOSS for sales made through your online store, you must provide your operator number for the purposes of the import regime (NIOSS) to the person responsible for declaring the goods for release into free circulation in the EU (for example, a postal service operator, an express transport company or a customs agent.

With respect to goods sold through the electronic interface, you must provide the person responsible for declaring the goods for release for free circulation in the EU the operator number for the purposes of the import regime (NIOSS) of the electronic interface, since it is you who organizes the transport. When you sell goods through an electronic interface, you are deemed to deliver your goods to the electronic interface and the electronic interface then delivers to the customer. The electronic interface is required to apply and collect VAT from the client and declare and pay VAT to the tax administrations.

If you do not register with IOSS for sales made through your online store, you will not be able to use the operator number for the purposes of the electronic interface import regime for sales made through your website. Instead, VAT on goods sold through your online store will be charged to the customer upon importation into the EU.

Tax administrations will compare the total value of transactions declared at the time of importation for each operator number for the purposes of the import regime with the IOSS VAT declarations submitted for that number of operator in question.

In the Explanatory Notes on VAT rules in electronic commerce, there are different assumptions for taxable persons considered suppliers (pages 94 to 107).