In July 2021, businesses across the world will be held to new e-commerce VAT rules in Europe. These changes will have a big impact on the way companies calculate and report VAT throughout Europe —both for products moving within the EU and those imported into one of the member countries from overseas.
First, let’s focus on sales to final consumers of goods that are already physically in the EU. Current rules use distance thresholds of €100,000 or €35,000 to determine whether the VAT rate of the country of destination should be applied. Read more…
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