Question 1

Do I need to charge VAT if I sell from Latvia to Germany?

Accepted Answer

Yes, if you sell B2C and have crossed the €10,000 cross-border threshold, you must charge German VAT (19% standard) and remit it via OSS. Below €10,000 you may keep applying Latvia's domestic rate.

Question 2

What is the EU OSS scheme?

Accepted Answer

The One-Stop Shop is a single online portal where EU-based sellers can declare and pay VAT for all their cross-border B2C sales across the EU. You register once in your home country and file a single quarterly return.

Question 3

What happens if I go over the €10,000 threshold?

Accepted Answer

From the moment you cross €10,000 in cross-border B2C sales in a calendar year, you must charge each customer the VAT rate of their country and report it through OSS.

Question 4

Are digital products taxed differently?

Accepted Answer

Since 2015, digital services (apps, SaaS, e-books, streaming) are always taxed in the buyer's country at that country's standard VAT rate, regardless of the €10,000 threshold for goods.

Question 5

Do I charge VAT on B2B sales?

Accepted Answer

Generally no — B2B intra-EU sales fall under the reverse-charge mechanism if the buyer provides a valid VAT number. The buyer self-accounts for VAT in their country, and you issue an invoice without VAT.

Question 6

What is IOSS for imports under €150?

Accepted Answer

The Import One-Stop Shop allows non-EU sellers (or marketplaces) to collect VAT at checkout on goods imported into the EU with a value of €150 or less, simplifying customs clearance.