Now sellers can apply national rules for their sales to other EU member states.
What will change in online sales to other EU member states from July 1, 2021?
The new system forms the basis for the implementation of VAT reform in the EU. The EU VAT reform was developed to enhance transparency as well as to strengthen and simplify exchanges between the tax authorities of member states.
Basically, it affects all companies doing cross-border business in the EU, in other words, all E-Commerce participants: the supply chain. This affects online sellers and marketplaces/platforms operating both inside and outside the EU, postal companies, and courier services.
For the end user/online customer, this means that as of July 1, 2021, he/she pays his/her country's VAT for an order in any EU country.