Compliance

Import One-Stop Shop

An EU electronic portal that lets sellers declare and pay VAT on imported consignments valued at 150 euros or less.

Aliases: IOSS, Import One Stop Shop, 进口一站式服务, 进口增值税一站式申报

The mechanism

The Import One-Stop Shop, in operation since 1 July 2021, is a VAT collection mechanism for business-to-consumer imports. When the intrinsic value of a consignment does not exceed 150 euros, the seller or an intermediary can charge VAT at checkout and declare it through a single IOSS return, instead of paying import VAT at the border.

Two consequences follow. The buyer sees the final price with VAT included, and the parcel moves through customs without a VAT payment event. That is why IOSS-registered shipments clear faster.

Who can use it

A seller established in the EU can register directly. A seller outside the EU must appoint an intermediary established in the Union, unless the seller is established in a country with a mutual assistance agreement and meets the conditions for direct registration.

Marketplaces and platforms that facilitate the sale are treated as the deemed supplier in defined situations, and their IOSS number may appear on the parcel instead of the seller's.

What the number does on a parcel

A valid IOSS number must be transmitted with the customs declaration. Without it, the consignment is treated as a normal import, VAT is collected at the border, and the buyer can be asked for payment before delivery. That is a direct cause of refused parcels and negative reviews.

Record keeping

The scheme requires monthly returns, with records of each supply: value, destination, VAT rate applied, and the IOSS number used. Records are kept for a period set by national tax authorities, commonly ten years for VAT purposes. Errors in rate selection are the frequent audit finding, because rates vary by member state and by product category.

Relationship to other mechanisms

IOSS covers consignments up to 150 euros; above that, import VAT is due at the border and the customs duty applies. Intra-EU business-to-consumer distance sales use the OSS scheme, not IOSS. Both connect to ICS2 data flows, since the customs declaration now required before loading depends on accurate consignee and value data. The 2023 EU customs reform proposal would remove the 150 euro threshold from the VAT treatment, which is why the mechanism is expected to change rather than disappear.

Interaction with the US side

Sellers running both markets should not confuse IOSS with the US de minimis debate. The EU mechanism collects VAT; the US threshold concerns duty and tax exemption, and its legal basis has changed.

Primary source: Council Implementing Regulation (EU) No 282/2011, Title XII, Chapter 7; Commission IOSS guidance.

FAQ

What is the value limit for IOSS?

Consignments with an intrinsic value of 150 euros or less. Above that limit, import VAT is collected at the border and the IOSS number cannot be used for the VAT treatment.

Can a non-EU seller register directly?

Only where the seller is established in a country with a mutual assistance agreement for VAT and meets the conditions set by the member state of registration. Otherwise an intermediary in the EU is required.

What happens if the IOSS number is missing from the parcel?

The shipment is cleared as a normal import, VAT is collected at the border, and delivery may be delayed or refused. Buyers can be asked to pay before receipt.

Is IOSS the same as OSS?

[OSS](/wiki/oss) covers intra-EU business-to-consumer supplies, including distance sales within the Union. IOSS covers imports of low-value consignments from outside the Union.

How often are IOSS returns filed?

Monthly, covering the previous month. The return reports supplies by member state of consumption, with the VAT rate applied to each.