𝗗𝗗𝗣 – “𝗗𝗲𝗹𝗶𝘃𝗲𝗿𝘆 𝗗𝘂𝘁𝘆 𝗣𝗮𝗶𝗱; 𝗽𝗼𝘀𝘁𝗮𝗹 𝗰𝘂𝘀𝘁𝗼𝗺𝘀 𝗰𝗹𝗲𝗮𝗿𝗮𝗻𝗰𝗲 & 𝗜𝗢𝗦𝗦

Since 1.7.2021, the Import-One-Stop-Shop (#IOSS) has allowed #VAT for low-value-consignments (#LVC, intrinsic value < EUR 150) to be paid at the time of #purchase abroad, provided the #seller has registered a IOSS VAT ID number (directly, or via fiscal #representative) in the #EU.

This model supports #DDP (Delivered Duty Paid). The seller is responsible for paying #import duties, #taxes, and #fees.

– In the #postal sector, this model is not relevant for #C2C as #consumers do not usually have an IOSS #registration in the EU.
Corporate #B2C senders can now use IOSS, including postal #delivery.
– With IOSS, EU postal operators (#DO) do not have to collect customs #duties as the VAT (in the form of import duties) is paid at the time of purchase.
– A simplified #digital customs declaration must be pre-lodged by the postal operator based on the #EAD information sent in advance by the DO in the country of origin. 

In the classic postal model, import customs clearance MUST be carried out by the DO in the destination country. In the new EU model, postal and express LVC are treated equally. Customs #data to pre-lodge declarations is similar but not identical to the UPU data model (EAD). Once IOSS is used, a single customs #authority may release items for free circulation throughout the EU.

𝗣𝗼𝘀𝘁𝘀 𝗿𝗲𝗮𝗰𝘁𝗶𝗼𝗻 𝘁𝗼 𝘁𝗵𝗲 𝗻𝗲𝘄 𝗜𝗢𝗦𝗦 𝗯𝘂𝘀𝗶𝗻𝗲𝘀𝘀 𝗰𝗮𝘀𝗲?

– Large and internationally-oriented DOs such as DE, FR, ES, IT, NL, BE and DK/SE have not charged for simplified digital pre-lodging. 
– Others, including some Eastern and South-Eastern EU DOs, are charging fees for IOSS #consignments. While customs clearance #costs in the #commercial sector are in the cent range, some DOs are charging up to EUR 5 (Austria). Postal delivery of IOSS items has become unattractive for #recipients, although generating additional #revenue for DOs over the short and medium-term. 

In summary, the EU VAT #Ecommerce Package has essentially ended the postal customs privilege in the EU. Postal operators are charging a range of different customs fees, some for IOSS handling, others not.

#Volumes in the UPU #mail channel have decreased significantly, partly migrating to the direct entry #channels of the big EU DOs, and partly to #commercial carriers such as DHL, DPD, GLS, etc.