Ecommerce Europe’s Italian member, Consorzio Netcomm, in collaboration with Taxmen.eu, will host an open event on 13 November on the EU VAT reform on e-commerce in Milan. The event will see the participation of high-level speakers, such as Walter Trezek, Co-chair of the e-Logistics Working Group of Ecommerce Europe, Alan Rhode, Partner at Taxmen.eu, Bernardo Almeida, Global Indirect Tax Senior Manager at Farfetch.com, and Margherita Potente, Italy Customs Affairs, UPS. The workshop will focus on the proposed, major VAT reform on e-commerce sales.
About the proposal
Starting from 2021, VAT on cross-border sales of e-commerce products will apply in the EU state of destination of the parcel; the current “distance selling” thresholds will no longer be in force (€ 35,000/100,000). Luckily, EU merchants will no longer be required to hold a EU VAT number to apply VAT in the state of destination; indeed, it will be possible to report and pay VAT on distance sales throughout Europe with the home country VAT number, by using the MOSS – the one-stop-shop system already adopted for VAT on Telecommunications, broadcasting & electronic services (digital services). In addition, the EU merchant’s home country invoicing rules will also apply, in any case, for e-commerce sales to other European countries. The VAT exemption of 10/22 euros will be eliminated for imports of e-commerce products from non-EU states. Under the proposed reform, marketplaces would become liable for any VAT due on e-commerce products imported from outside the EU; this is the most controversial aspect of the reform. The application of the MOSS will also be extended to other business-to-consumers services in addition to digital services.
For more information about the event and to register, please click here.