As of 1 July 2021, companies not established in the European Union or established in a third country, with which the EU has not concluded a mutual assistance agreement on VAT, are required to appoint an intermediary in order to be able to use the import scheme.
As a reminder, the intermediary is a taxable person established in the EU who has to fulfil the obligations laid down in the import regime applicable to the supplier or the electronic interface which has appointed him. These obligations include:
- filing of VAT returns via the one-stop shop for imports;
- and payment of VAT on distance sales of low-value imported goods.
This means that the intermediary is deemed to be jointly and severally liable for VAT with the supplier. It is our understanding that the agreement between the UK and the EU is not sufficient to exempt UK companies from appointing an intermediary. Only the agreement between the EU and Norway provides for such an exemption.
For further information, please contact us.
Source: ASD Group
