From July 1, 2021, new VAT legislation will come into effect in Europe. The new law on “Distance Selling” has an impact if you do business abroad with a webshop. As soon as your webshop sells and delivers more than 10,000 euros abroad, the VAT must be paid in the percentage that applies in those countries. For this, a declaration must be made via the counter of the Tax Authorities in the Netherlands.
The new rules apply if you achieve an annual turnover of 10,000 euros or more with your Dutch webshop from sales to consumers in EU countries outside the Netherlands. If your turnover in other EU countries remains below 10,000 euros per year, you may continue to charge Dutch VAT.
VAT regulation in ASPOS
In ASPOS we have added a setting that allows you to set whether you expect to sell more than 10,000 euros abroad with your webshop. If you want to use this, you can call us and customer service will activate the setting in your ASPOS environment free of charge. If desired, the setting can also be turned on per store if entrepreneurs have their own web shops.
The VAT code table in ASPOS has been expanded so that you can link your products per country to VAT high, medium, low or zero. For example, in Germany the high VAT code is 19%, in the Netherlands it is 21%. In addition, we have adapted our APIs, both the soap and the rest variant, so that it is possible to use a different VAT rate when the product is in is delivered abroad. As soon as the delivery address of the sales order is abroad, ASPOS takes the percentage from the VAT code table and a recalculation of the totals is made before the sales order is finally saved.
For instance:
If a product with high VAT is ordered by a customer from the Netherlands, nothing changes in the procedure. If a product with high VAT is ordered by a customer from Germany, but the product is delivered in the Netherlands, the procedure remains unchanged. If a product with high VAT is ordered by a customer from Germany and delivered in Germany, then 19% VAT will be charged instead of 21% VAT.
More information
More information about the new VAT rules can be found here:
If you have any questions about this, we are happy to help you by email at support@valksolutions.nl or by phone at 0348 431 490.
