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V0811-22 19 April 2022 · SG de Impuestos sobre el Consumo Criterion in force
IVA · ventas a distancia intracomunitarias

Intra-Community distance sales of goods taxed at destination once €10,000 threshold is exceeded

A company under the equivalence surcharge regime seeks clarification on how to tax online sales to private individuals within the EU and how to declare platform commissions. The DGT clarifies that once intra-Community sales exceed the €10,000 limit, VAT from the destination country must be applied.

The question raised

1.- Whether Value Added Tax must be charged at the rate of 21 percent on invoices issued for sales to private customers within the European Union.

The DGT's ruling

Until a global threshold of 10,000 euros in intra-Community distance sales of goods and services is reached, taxation may occur at the place of origin as domestic supplies. Once this limit is exceeded, the tax is due in each Member State of destination. For platform commissions within the EU, the reverse charge mechanism applies, and VAT must be reported using form 309 or 303 depending on the applicant's activity.

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