Serveral webshops sell cross border in Europe but aren’t VAT Compliant. VAT Compliance means that you are aware of the VAT tresholds in al the 28 EU member countries where you are selling. Every country has its own treshold, but also its own way of penalizing. Governments in the EU are hardly looking for money to finance to shelter the refugee imagrants entering Europe. The question is always where find the money? When a webshop is going over the VAT treshold it is obligator to ask for a ‘local’ VAT number. But when you are a small company just interested in selling then you might think this is not for us… But the fines are hughe so be prepared and look for a VAT representative in al the countries where you are selling. It is hard to find a company that can provide you these services in al the EU member states. You found this article so you are Lucky, because I can tell you where to go. You can ask RM Boulanger in the UK, because the have a network throughout Europe. Also in Switzerland and Norway, so you are well informed now. They are also able to advice what countries you can skip. Because the treshold is different in most of the countries. Companies selling via Amazon are panicking now, because they where mostly selling via the low VAT rate in Luxembourg. The EU has passed a new law which says that you have to pay VAT in the country that you are selling in. Amazon is not solving this problem for them, so Amazon tells them where to go. In real live they forget to mention one of the best companies in Europe to help and thats RM Boulanger (RMB).
In is not in the interest of Amazon to help solving the problem. They online provide a sales platform, but it would be fair that advice you to talk with RMB. They have a VAT compliance hub in the heart of Europe where al the experts are concentrated. That makes it is easy for you because you have a single point of contact for the whole EU. Beside that RMB provides a local Phone number in your country. So there is no treshold to contact this service oriented company. And of course even you are not selling via Amazon you can also contact RMB directly…
You can find more inforrmation about VAT compliance on: www.rmboulanger.co.uk (**)