Distance selling thresholds in EU in 2021

Adam Grabiński
Adam Grabiński Updated: 9 March 2022

In recent years, e-commerce sales have been growing very dynamically, which can be seen on the example of the Amazon platform. If selling online, there are also tax issues related to VAT reporting in different countries.

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VAT and VAT-OSS in EU Guide

In recent years, e-commerce sales have been growing very dynamically, which can be seen in the example of the Amazon platform. If selling online, there are also tax issues related to VAT reporting in different countries.

What is the Distance Selling?

Distance selling threshold for individuals with no economic activity has significant meaning when talking about the obligation of VAT registration in different EU countries. Particularly, the obligations of VAT registration in a given EU country arises if the value of net revenue (excluding VAT) derived from the sale of goods shipped to a given EU country exceeds a certain limit.

Threshold limit for distance selling

You have to remember that the threshold value refers to the value of sales of goods within a calendar year, however when the threshold is exceeded, you have to register for VAT in a given country immediately, you should not wait with that until the next calendar year. A threshold value is determined individually by each EU country and current distance selling thresholds are published by the European Commission.

Distance Selling Rules

As a rule, until the date of exceeding the distance selling threshold sale of goods is subject to taxation in the country of departure of goods. After exceeding the threshold you have to pay VAT in the country of arrival of goods. However, there is also an exception to this rule. In particular, the taxpayer has the possibility to choose the place of VAT taxation in the country of arrival of goods, regardless of the value of goods sold. For that purpose, you have to meet formal conditions determined for particular EU countries (e.g. submitting a proper form, etc.). If you want to get more >>contact us

VAT Threshold limits in Europe

Member state National currency Euro equivalent
Austria EUR 35 000
Belgium EUR 35 000
Bulgaria BGN 70 000 EUR 35 791
Croatia HRK 270 000 EUR 36 501
Czechia CZK 1 140 000 EUR 44 744
Denmark DKK 288 000 EUR 37 510
Estonia EUR 35 000
Finland EUR 35 000
France EUR 35 000
Germany EUR 100 000
Greece EUR 35 000
Hungary EUR 35 000
Ireland EUR 35 000
Italy EUR 35 000
Latvia EUR 35 000
Lithuania EUR 35 000
Luxemburg EUR 100 000
Malta EUR 35 000
Netherlands EUR 100 000
Poland PLN 160 000 EUR 37 712
Portugal EUR 35 000
Romania RON 118 000 EUR 25 305
Slovakia EUR 35 000
Slovenia EUR 35 000
Spain EUR 35 000
Sweden SEK 320 000 EUR 30 346

 

This information is correct at the time of publishing (January 2021) but may change at any time.

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