It may seem like only yesterday that the new One-Stop Shop system came into effect for European VAT payments, but the first set of OSS filing deadlines is already upon us. Read on to find out more about the upcoming deadlines for OSS and IOSS and how you can make sure you are ready in time.
You must register by the 10th day of the month after your first eligible supply to be able to use OSS for that supply. If you apply after the 10th of the month following your first eligible supply, your registration will take effect from the first day of the calendar quarter after you applied to register.
This is because OSS registrations take effect starting with the next full quarter after your application. If you registered after 1 July, your application comes into effect at the start of the next quarter in October. Any supplies made after registration can be disclosed to the relevant tax authorities by the tenth day of the month following your first supply, thus ensuring that all your supplies are included under the scheme.
IOSS and OSS filing deadlines
In most cases, OSS returns are submitted according to calendar quarters. These quarters are January to March, April to June, July to September, and October to December. Your OSS returns are typically due by the last day of the month following the reporting period.
For example, your Q1 OSS return is due on 30 April, and the Q3 OSS return is due on 31 October. Additionally, monthly IOSS returns are due by the last day of the month following the reporting period.
The following table lays out the dates for OSS filing deadlines:
|Tax period||Date you can submit from||Date you must submit by|
|Quarter 1: 1 January to 31 March||1 April||30 April|
|Quarter 2: 1 April to 30 June||1 July||31 July|
|Quarter 3: 1 July to 30 September||1 October||31 October|
|Quarter 4: 1 October to 31 December||1 January (of the following year)||31 January (of the following year)|
Please bear in mind that bank holidays and weekends do not affect this deadline.
Most frequently, payment is made for the VAT return when it is submitted, along with the unique reference number for that return. However, if you choose to make your payment separately, that payment is due by no later than the end of the month following the end of the tax period which your return covers.
It is important to keep in mind that OSS and IOSS sit outside your ordinary VAT accounting in your own country, so you may still need to complete a VAT return in your own country. The filing deadlines for these may not necessarily line up with your OSS filing deadlines.
Additionally, you may need to make changes to your e-commerce or accounting software to take variable VAT rates into consideration.
Registering for OSS/IOSS
While there are alternative methods for handling e-commerce sales in the EU, generally the most efficient way to deal with VAT compliance is to register for the OSS/IOSS schemes. There are a few options to register for, including OSS, non-Union OSS, and IOSS, so you will need to research which best suits your business needs.
And if you are not established in the EU then IOSS registration may involve finding an intermediary to act on your behalf.
How can AVASK help?
AVASK can offer direct and indirect representation to cover the IOSS requirement for companies which are not established in the EU, in addition to handling your VAT return filings. We can make sure that you don’t have to worry about upcoming OSS filing deadlines when you sign up for our services.
Once you have done your research, you can start the registration process with AVASK on our website using this form.