The One-Stop-Shop procedure has been the basis for the implementation of the EU VAT reform since 01.07.2021. As a result, a uniform delivery threshold of €10,000 applies to B2C transactions within Europe. As soon as goods totaling €10,000 have been delivered to other EU countries, the tax rate of the destination country must be shown and paid in all EU countries.
In Xentral, you can map this via the Delivery threshold module. The module has been extended accordingly, so that the sum of sales is aggregated across all EU countries. You can find basic information about this module in the manual.
Note
It is important that you create the delivery thresholds directly for all EU countries you deliver to or expect deliveries from, in order to avoid cumbersome subsequent invoice corrections.
Each EU member state has its own electronic portal where merchants based in that country can register.
The single point of contact allows merchants to declare and pay for all their sales within the European Union centrally in just one EU member state (and not in all 27).
This single declaration lists all sales of goods in the EU member states, together with the VAT incurred, broken down by individual country. The resulting VAT liability is also paid to the OSS.
The central task of the One-Stop-Shop, which in Germany is the Federal Central Tax Office (BZSt), is what is known as clearing.
Clearing refers to the disbursement of the VAT that Xentral’s customers declared and paid to the central point of contact in the EU member state in which the sales were made.
The payment of VAT to the EU member states is based on the submitted OSS declarations.
First, decide together with your tax advisor whether you want to apply the destination country tax from the first sales order onward, or only once the threshold of €10,000 is reached. You can map both scenarios in Xentral.
If you have already created delivery thresholds for all EU countries you deliver to, you do not need to make any adjustments. If you are not yet working with the module, proceed as follows:
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Use the Smart Search to open the Delivery threshold module.
You are now in the Overview tab.
Add a delivery threshold for each EU country you deliver to. If you are already working with the Delivery threshold module, no adjustment is necessary for the thresholds you have created. In this case, you can edit the delivery thresholds by clicking on the pencil icon.
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Enter the Delivery threshold in EUR as follows:
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If you have already stored delivery thresholds, you do not need to make any adjustment.
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The €10,000 limit also applies if you have already stored old, higher thresholds.
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Enter a value of 10,000.00 here.
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Enter a value of 1.00 here if the delivery threshold should apply immediately.
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Do not use the value 0.00, as otherwise the product-specific delivery thresholds cannot be taken into account.
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Additionally, fill in the following fields:
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Recipient country: The country for which the delivery threshold should apply
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Warehouse: No warehouse
The Warehouse option can be set to Warehouse or Main warehouse to tell the system that you have a warehouse in the recipient country itself, and that the VAT rate applicable there must therefore be used for every sales order to the recipient country. Once Warehouse or Main warehouse is selected, Xentral takes into account that this revenue must be shown on the invoice according to local VAT rates. However, this revenue is not included in the €10,000 total.
Note
You can only create one delivery threshold per country. So if you define a warehouse in a destination country, you can no longer create a delivery threshold without a warehouse.
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VAT ID: Enter your VAT ID in the destination country - or, each time, your domestic VAT ID (OSS and B2C business only). You can retrieve this in the business letter templates as the variable {DELIVERYTHRESHOLDVATID}.
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Normal tax rate: Enter the regular VAT rate in the destination country.
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Tax rate reduced: Enter the reduced VAT rate in the destination country.
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Special tax rate: Enter the special VAT rate in the destination country.
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In country of origin: Enter the special VAT comparison rate in the country of origin.
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Exceeded above: Leave this field empty. It is automatically filled in by Xentral as soon as the delivery threshold has been exceeded.
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Current sales: Leave this field empty when creating a new entry. It is automatically filled with 0.00 and incremented with each sale.
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Adjust net prices: Adjusts the net prices when importing from the online shop, so that Xentral overwrites incorrect tax rates from the shop while the gross amount for the customer stays the same.
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Delivery threshold active: The delivery threshold is active and the tax rate you set is used. This option is automatically enabled once the delivery threshold is exceeded. Only enable this option manually if you have created the delivery threshold retroactively and are manually filling in the Exceeded from and Current turnover fields.
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Delivery threshold module, Settings tab
Activate the Use new tax if exceeded option, and for the Increase turnover counter setting, select the On release option. Optionally, you can also enable the Email on exceedance option.
Xentral forms a grand total across all EU countries instead of treating them individually like non-EU countries. Setting the delivery threshold of each individual EU country to €10,000 only serves to prevent a country from being triggered too early, or applies if you only serve one EU country. The value can also be set to €1 if you know that you want to work directly with the local tax rates.
Xentral calculates the sum of all B2C sales to all EU countries. As soon as €10,000 is reached, the delivery threshold for all EU countries with created delivery thresholds is triggered simultaneously.
You can find out how high your current turnover is by filtering the EU column for Yes in the Delivery threshold module. You then see the total across all EU countries below the Current turnover column.
If you receive a sales order for the first time from an EU country for which you have not yet stored a delivery threshold, Xentral displays an error message that alerts you to the missing delivery thresholds as well as the relevant delivery countries and sales order totals.
Note
Deleting or canceling an invoice does not reduce the Current revenue counter in the Delivery threshold module. In exceptional cases, you can reset this counter manually when you cancel an invoice for this EU country. If you accidentally delete a delivery threshold, you must create it again and manually fill in the Current revenue field with the current value.
Xentral automatically detects whether a sales order or invoice should be treated as an end-customer transaction. The decisive factor is whether a VAT ID is stored in the receipt. If no VAT ID is stored, it is considered a B2C transaction.
Whether a country counts as an EU or export country is defined in the Country list module in Xentral. You do not need to make any changes here, since Xentral automatically stores the correct assignment for new installations. An adjustment is only necessary if you have already made configurations in the country list at an earlier point in time. In any case, please check whether, for example, the United Kingdom is correctly no longer stored as an EU country for you following its withdrawal from the EU. Only countries marked as EU are taken into account for the summation of the OSS-relevant delivery threshold of €10,000.
Tip
You can find more information about the Country list module in the article Country List.
Did the export take place from within Xentral? If so, it’s best to contact support via the Xentral ticket system.
Yes, exactly. The warehouse country is used to determine whether it is a cross-border delivery or a domestic delivery (just one in a country other than Germany).
The workaround described is the correct solution here for now, yes.
This is simply about the fact that the legal obligation to issue invoices does not apply to transactions reported via the OSS. This means you are not obliged to issue invoices for B2C distance sales. That said, you can of course still issue an invoice to the customer for reasons of customer satisfaction.
The Mini One Stop Shop (MOSS) was previously used to report cross-border digital services to private customers. The MOSS was integrated into the One-Stop-Shop (OSS) as of 01.07.2021. Since July 2021, there has therefore no longer been a separate MOSS procedure, and the OSS is the single point of contact for cross-border distance sales and digital services.
You may continue to report everything through the local tax office. However, you have to make this decision once – mixing the two is not possible.
Exactly, the warehouse country no longer changes anything in that case.
Xentral also transfers account assignments as well as posting keys and presets as much as possible in DATEV. Depending on the exact requirement, however, more may need to be set up in DATEV. It’s best to simply try this out.
PAN EU is an alternative solution from Amazon to the OSS; the two cannot be mixed with each other.
Customs tariff numbers can be transferred from Xentral to Shopify. With the help of custom fields, you can export all kinds of codes to Shopify.
Yes. Xentral has an interface to Amainvoice. You can find more information on this in the article Amainvoice - Creating invoices and credit notes for Amazon.
In individual cases, the regulation can result in significantly higher registration and tax declaration effort in the EU member states. In principle, however, you have a choice: You can either register for VAT in each of the 27 EU member states in which you sell goods, regularly declare your sales there, and pay the VAT to the respective local tax authority. Or you can use the option of the One-Stop-Shop (OSS), available since 01.07.2021, as a central electronic point of contact. Using the One-Stop-Shop is only possible uniformly for all EU member states – mixing individual registrations in some countries with simultaneous OSS use in other member states at the same time is not possible.