On Friday 18 July, the Council of the European Union formally adopted the Directive on value added tax (VAT) rules applicable to distance selling of imported goods and to VAT on imports.
The directive, which was the subject of a political agreement (‘general approach’) in May (see EUROPE 13639/1), is intended to improve the collection of VAT on imported goods by ensuring that suppliers are always liable for VAT paid on imports, rather than EU consumers, as is currently the case.
It should also encourage non-EU suppliers to use the one-stop shop for imports (IOSS) to declare and collect VAT. IOSS simplifies the declaration and payment of VAT when goods are imported into the EU, since it is only necessary to register in one Member State, even when sales are made throughout the EU.
The directive will come into force twenty days after its publication in the Official Journal of the EU. It will apply from 1 July 2028.
Read the full directive: https://aeur.eu/f/hy1 (Original version in French by Anne Damiani)