It’s known that all companies outside the EU selling to customers within the European Union need to report VAT, but the question is: what are the obligations of taxable persons under the IOSS? In today’s post we will talk about all these obligations. Check them out here.

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READ MORE: IOSS Benefits for Suppliers and Consumers
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IOSS Obligations for Taxable Persons

When a person is registered for the IOSS, they must use it to declare and pay VAT due on all supplies within the scope of the IOSS. A supplier making use of the IOSS is obliged to display the amount of VAT due to the EU customer at the latest when the payment is made; collect the VAT from the EU customer, and submit a monthly IOSS return to their Member State of identification.

Once registered for the IOSS, a taxable person or his or her intermediary will have responsibilities to fulfill in order to avail of the IOSS. The taxable person or his or her intermediary must submit an IOSS VAT return electronically by the end of the month following the end of the tax period covered by the return. The IOSS VAT return must be made whether or not any supplies have been made during the month. An intermediary will need to file an IOSS VAT return and remit the VAT due for each taxable person that they represent separately.

The IOSS VAT return will include:

• the total value of the goods sold
• the corresponding VAT rate applicable and
• the total amount of VAT to be paid broken down by Member State of consumption.
  

The VAT declared in the monthly IOSS return will be paid to the Member State of identification by the end of the month following the reporting month.

If the VAT return is not submitted on time, the Revenue Commissioners will issue an electronic reminder to the relevant person after a period of 10 days. Where no payment has been made, the Revenue Commissioners will issue an electronic reminder to the relevant person after a period of 10 days.

Choose My Duty Collect to be your IOSS intermediary and make sure to fulfill your IOSS obligations. Subscribe to our blog and visit our ​website​ and ​LinkedIn​ page for more updates. You can also reach out to us by sending a message to ​info@mydutycollect.com​. We will be delighted to hear from you.