E-Commerce retailers based in the EU who make sales online EU Customers are required to follow distance selling rules. There are certain thresholds at present for each EU country. Once the retailer exceeds the threshold for the customer’s country, he must then switch to the domestic tax rate of that country and ensure you are VAT registered in that member state.
For example, the distance selling limit is €75,000 in Ireland, and in Germany, it is €100,000. So, if a retailer is a VAT registered in Ireland and it began distance selling to Germany, the retailer will still file and apply for VAT refunds in Ireland up until it hits the €100,000 in sales for the year.
Significant changes to the VAT rules applying to e-commerce transactions, particularly online sales of goods, will take effect across the EU on 1 July 2021.
- Currently, there is a Vat Registration threshold in each EU country which is likely to be abolished in each EU State. The impact of this would be that retailers making sales online in the EU will be required to collect local VAT in the member state to which the goods are shipped (assuming the value of goods is above 10,000 Euros. Where Sellers has no establishment, VAT due will be re, minted through a single EU-wide VAT return known as the One-Stop-Shop (“OSS”).
- There will be new VAT reporting procedures in relation to the preparation and filing of One Stop Shop returns on a quarterly basis.
- Electronic interfaces which “facilitate” sales of goods to consumers in the EU may have additional VAT collection and reporting obligations
How we can help for VAT for E-Commerce in Ireland
- Assess your business’s VAT reporting and the implications of its activity, including identifying potential VAT collection and reporting obligations in new jurisdictions, and determining VAT rates for products in relevant jurisdictions.
- Review existing contracts and terms & conditions to help manage the VAT risks associated with the new requirements
VAT Registration in Ireland
| TYPE | TURNOVER THRESHOLD PER ANNUM |
| Supplying goods or products | 75,000 Euros |
| Supply for services | 37,500 Euros |
Foreign companies supplying goods or services in Ireland are required to register for VAT without any exceptions.
VAT Registration Process
The VAT in Ireland is registered with Revenue. In order to register, the interested parties must complete specific forms, which depend on the legal nature of the party. Thus, in the case of sole traders or partnerships, the VAT registration in Ireland is completed through the TR1 registration form, while in case of companies, the TR2 registration form is required.
What we offer:
- Specialized outsourced VAT compliance.
- Access to local VAT expertise
- Speedy VAT registrations and ongoing filings, Intrastat, EC Sales Listing, as well as fiscal representation and access to special VAT import deferment schemes.
- Expertise and assistance in the case of questions from the local tax authorities.
- We have specialist expertise in Ireland and international VAT, including international VAT for overseas traders
You can also Visit our Pages for more information regarding VAT services
More Services
We offer a wide range of accounting-related services of unrivalled quality and dependability. We believe that each customer should be treated as an individual with distinct needs and requirements. TAS provides each customer with customised and tailored solutions in the following areas:
Office
Office 80, Cherry Orchard Industrial Estate Ballyfermot Road, Co. Dublin D10NX96
Hours
M-F: 8am – 5pm
S-S: Closed
Call Us
01 4428230
Mobile/Whatsapp 0353 851477625
