Europe VAT?

[zee-chan]

So I just saw this "warning" when I was about to print a shipping label for Germany...

Please be advised that Canada Post has not yet updated their services to follow the new EU VAT regulations (IOSS) which went into effect on July 1, 2021. If you sell an item valued up to 150 Euros to a buyer in the European Union, eBay is obliged to automatically collect the VAT from the buyer. This means that, should you ship your item with Canada Post to your buyer in the EU, they may be forced to pay the VAT amount again at the time of delivery or reject the package to be sent back to you at your cost. Your shipments to Canada, US, and countries outside of EU are not affected.

What can I do as a seller to prove that the buyer already paid the VAT (collected by eBay at time of sales)  so that they don't get double dinged and I don't get a parcel returned to me??? My sale is like $50 USD. 

[hlmacdon]

The IOSS number and paid status line should appear in the address, make sure that gets on the label basically. Canada Post will be adding a different field for that same information as part of the customs form but for now you just want to make sure that is included on the label.

[marnotom!]

Not sure how this will help or how much, but this was discussed a couple of weeks ago:

https://community.ebay.ca/t5/Seller-Central/New-EU-VAT-regulation-problem-for-sellers/m-p/462874

[zee-chan]

Thank you both! I do see the IOSS number in the order details so I'll manually write it on the envelope and hope for the best 😼

[zee-chan]

Argh wt*, stupid eBay label system... I declared the books as $60 CAD since it says CAD when I was filling out the form. And then when I printed the shipping label it somehow stupidly changed my declared value to $75.36 CAD (so treated the $60 as USD rather than CAD as it said when I was filling out the form) and I just noticed it after I finished packing.......... 😫

[marnotom!]

Could the declared value on the customs label actually be the selling price of the books plus your shipping charge?

[byto253]

If it does not affect the import limits, etc. for your buyer I would just leave it.   For a postal claim you would be covered for the amount you can prove it sold for so the claim would just be less than the declared value.  It is more of an issue if you under declare an amount.  

[lotzofuniquegoodies]

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@zee-chan wrote:

So I just saw this "warning" when I was about to print a shipping label for Germany...

Please be advised that Canada Post has not yet updated their services to follow the new EU VAT regulations (IOSS) which went into effect on July 1, 2021. If you sell an item valued up to 150 Euros to a buyer in the European Union, eBay is obliged to automatically collect the VAT from the buyer. This means that, should you ship your item with Canada Post to your buyer in the EU, they may be forced to pay the VAT amount again at the time of delivery or reject the package to be sent back to you at your cost. Your shipments to Canada, US, and countries outside of EU are not affected.

What can I do as a seller to prove that the buyer already paid the VAT (collected by eBay at time of sales)  so that they don't get double dinged and I don't get a parcel returned to me??? My sale is like $50 USD. 

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For what it's worth eBay Labels has added a Notes field to their customs entry page. For anyone shipping to  VAT applicable countries the VAT info that attached to the address line could be cut and pasted to that field. Any shipments with barcodes could be viewed by customs as they arrive. The current eBay provided packing slip(sellers hub page) does show when VAT was collected by ebay. The packing slip generated with eBay Labels only shows what is being shipped with no values.. The recipiant may still need to officially prove to customs that they've already paid VAT. 

-Lotz

[zee-chan]

Nevermind, disregard this post please 

[zee-chan]

According to my buyer in Germany, they did got charged VAT again so they just paid for it as usual... so unfortunately writing the IOSS number on the package didn't help =( 

[zee-chan]

Bump.

Anyone with recent experience shipping to Germany? Does writing the IOSS number on the envelope helped at all? Anyone ended up getting their shipment refused by buyers because they are charged VAT twice?

I am really just debating between sending my most recent sale as a 1kg small packet air, or split it into two 500g letter post......

Or does chit chat express has a proper system in place for me to enter IOSS to ensure that the customer won't get charged VAT twice? If that's the case I will make the drive there for this repeat buyer despite the $$ gas price...

[ypdc_dennis]

If using Canada Post's Snap Ship there is now a field in the customs details to enter the IOSS number.

-;-

[ricarmic]

I don't know why they can't add it to the manual online customs forms, one would think that would be the easiest place to add it. My guess is that the "audience" ie businesses that use the manual form is limited (to the stamps on the box kinda folks).... 😞

[lotzofuniquegoodies]

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@ricarmic wrote:

I don't know why they can't add it to the manual online customs forms, one would think that would be the easiest place to add it. My guess is that the "audience" ie businesses that use the manual form is limited (to the stamps on the box kinda folks).... 😞

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An FYI for anyone doing muucho business to UK. Hopefully this change will improve the process.

UK Government moves to accept electronic trade documents

https://www.shippingandfreightresource.com/the-electronic-trade-documents-bill-is-on-the-uk-legislat...

-Lotz