EU-based companies with global web shops should already now prepare for the new rules within e-commerce, which will be implemented as per 1 July 2021. Originally, the rules were to be implemented by the end of 2020, but the commencement of the rules was postponed due to COVID-19.
The idea behind is that the VAT handling process in relation to B2C supply becomes much less complex. The VAT declarations will be handled in a local VAT portal and in accordance with local retail rules (e.g. Danish companies must act in accordance with Danish invoice requirements, regardless of in which country the customer is domiciled). Nevertheless, market-places and other retailers have to face an extended risk when the new VAT scheme enters into force.
We assist numerous companies with their global e-commerce, primarily in relation to VAT registration and declaration of VAT and Intrastat.
Contact us today, if you need help in relation to existing- or future rules or would like to receive an offer on VAT handling in one or several countries.