EU VAT guide

EU OSS VAT for online sellers

OSS can reduce the need for multiple VAT registrations when you sell goods or services to consumers across EU countries.

What OSS does

The EU VAT One Stop Shop lets eligible businesses register in one Member State, submit one VAT return, and make one payment for covered cross-border B2C sales.

The VAT rate is generally based on the customer's EU country, so your checkout and records still need reliable customer-location logic.

Which scheme fits which sale

  • Union OSS: EU-established sellers, and some non-EU sellers for goods, covering cross-border B2C supplies in the EU.
  • Non-Union OSS: non-EU businesses supplying services to EU consumers.
  • IOSS: imported low-value goods up to EUR 150 per order, including relevant marketplace scenarios.

Operational checklist

  • Classify whether the sale is B2B or B2C.
  • Identify the customer's country and the applicable VAT rate.
  • Decide whether your marketplace, payment platform, or your own business is responsible for collecting VAT.
  • Keep transaction records for the period required by the OSS rules.
  • Reconcile OSS returns against checkout, payment, refund, and invoice data.

FAQ

Does OSS mean I charge my own country VAT?

Not generally for covered cross-border B2C sales. The VAT rate is usually based on the customer's country.

Does OSS cover every transaction?

No. B2B reverse charge, domestic sales, imports, marketplace-deemed-supplier rules, and exempt supplies can need separate handling.

Official sources