This blog covers:

  • What type of sales does VAT OSS apply to?
  • How do I register for VAT OSS?
  • What are my obligations once I am registered for VAT OSS?

Do you sell goods or services to consumers across the EU?


Selling goods or services across the EU can often be tricky to navigate from a tax and VAT perspective.

Many business owners struggle with understanding exactly when and how much VAT they need to charge and also in understanding what their reporting requirements are in each country they sell into.

The VAT One Stop Shop (OSS) is designed to simplify this process and in particular, for businesses who sell to final consumers – i.e., B2C sales.

Historically, businesses who made B2C sales across the EU, were obliged to register for VAT in those countries once certain low thresholds were met.

The VAT OSS simplifies this as now, once a business is registered for the scheme, it can declare and pay EU VAT due on sales made to B2C customers in a single electronic quarterly return.

Additionally, instead of having to contact the tax office in each individual country, it can report the sales made to all EU countries via Irish Revenue.

There are two schemes with the OSS – the Union Scheme (for suppliers established in Ireland) and the non-Union scheme (for suppliers who are not established in Ireland and have no fixed establishment in the EU).

Written by Paddy Quinn
Published: 9th June, 2022

Paddy Quinn


BA (Hons) Accounting
CAI Diploma in Taxation
Xero Certified

Paddy has over 20 years of experience assisting clients ranging from startups through to multinationals, and working with businesses at each stage of their life cycle.

He is a member of both Chartered Accountants Ireland and the Institute of Chartered Accountants in England and Wales, and established Paddy Quinn and Co in 2016.

Paddy is responsible for the firm's client relationships, providing expert advice on high-level technical issues, Revenue engagements and all areas of management of the firm.

Outside of work and family life, Paddy has a keen interest in many sports, particularly GAA, and believes the lessons learnt by being part of a team with a common goal, are more valuable than anything ever gained in the classroom.

So, what type of sales does VAT OSS apply to?       

From 1 July 2021, the EU VAT due on the following supplies can be declared in the Union scheme.

  1. Cross-border supplies of telecommunications, broadcast and electronically supplied (TBE) services to non-taxable persons within the EU.One example of this might be if you run a subscription-based website and have individual customers from other EU countries.Those sales would be EU B2C sales and therefore you need to account for VAT at the prevailing rate of the country where your customer is based.VAT OSS helps to significantly simplify this process.
  2. All other cross-border supplies of services to non-taxable persons within the EU
  3. Intra-Community distance sales of goods;
    An “intra-Community distance sale of goods” is defined as supplies of goods dispatched or transported by or on behalf of the supplier, including where the supplier intervenes indirectly in the transport or dispatch of the goods, from a Member State other than that in which dispatch or transport of the goods to the customer ends.
  4. certain domestic supplies of goods (in specific circumstances)

How do I register for VAT OSS? 

A business must register for VAT OSS with Revenue through the VAT OSS section on ROS.

Please reach out to us if you need assistance with this process as our team have good experience in this area.

Registration typically takes effect from the first day of the calendar quarter following the quarter in which the taxpayer has informed the Revenue Commissioners that they wish to register for the scheme.

What are my obligations once I am registered for VAT OSS?  

Once registered for the Union scheme, a taxable person will have responsibilities to fulfil in order to use the scheme.

They must submit a quarterly Union scheme VAT return electronically by the end of the month following the end of the tax period covered by the return.

This Union scheme VAT return will include all EU VAT due in each Member State where a supply has been made under the scheme for the period in question.

This VAT will be remitted to the Revenue Commissioners for onward transmission to the relevant Member States of consumption.

The Union scheme VAT return must be made whether or not any supplies have been made during that quarter. If no supplies have been made during a calendar quarter, a nil return should be submitted.

At the same time the Union scheme VAT return is submitted to the Revenue Commissioners (by the end of the month following the end of the tax period covered by the return), the taxable person must remit all EU VAT payable to Revenue.

Further details     

Overall, the VAT OSS is a very useful scheme for businesses selling to final consumers across the EU as it significantly reduces the reporting and filing requirements.

However, it is vital that the business administers the scheme correctly, reports accurately and files and pays on time. If not, this can easily lead to penalty and late interest charges from not just Irish Revenue but also from the tax authorities in other EU countries.

Our team at Paddy Quinn and Co are experienced at the registration and ongoing filing of VAT OSS returns so please reach out to us today if you need any assistance in this area.

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