Distance selling, current and new rules

9 June 2020

Do you sell goods, whether or not via the Internet, to private individuals domiciled in another Member State of the European Union? And do you supply these goods directly to the private individuals in question? Then, for VAT purposes, you make what are known as “distance sales”. There are specific VAT rules for these distance sales.

In this whitepaper we list the main points of the current distance sales rules, of the new distance sales rules with their intended start date of 1 January 2021, and the current state of affairs. If you after having read this whitepaper have any questions about your own position, or if you need help, please do not hesitate to contact your contact person at CROP, or ask one of CROP’s VAT specialists directly.

These rules also apply to supplies to: farmers making use of the agricultural rules, traders making only exempted performances; and legal persons, not being entrepreneurs, who are not liable for VAT as a result of an intra-Community acquisition. However, an additional threshold should then be taken into account in that. We will not elaborate further on this issue here in this whitepaper.