EU Shipping Update July 2021
[UPDATE] We have resolved the issue regarding VAT as of of July 13, 2021, and we have reinstated shipping to all customers in the EU. Thank you to all of our customers for your prolonged patience during this period of downtime!
Note: The following effects countries in the European Union, and not all countries in Europe.
To our customers in the EU,
Beginning 1 July 2021, the EU has established a new set of value-added tax (VAT) rules for all e-commerce and online marketplaces, and this will include Pawprint Press. Specifically, the European Commission has announced that all products being sold to customers residing in the EU, irrespective of their declared value, will need to have the VAT applied to any and all purchases. Previously, any item below a declared value of EUR 22 was exempt from this rule, and this was the case for our products on Pawprint Press; our products were able to be sold to EU customers without the inclusion of a VAT.
Since we are not an EU-based company, we will need to register for what is called the Import One-Stop Shop (IOSS) with the assistance of a third-party EU-established intermediary in order for us to apply a VAT to EU orders. By registering for the IOSS, it will subsequently enable us to collect, declare, and pay the VAT to tax authorities. Shopify, the e-commerce platform that our storefront utilises, contains a function that allows for the calculation and recording of all VAT costs for each country in the EU, provided that we supply a valid IOSS registration number.
Unfortunately, our current situation is that we are in the process of connecting with a third-party EU-established intermediary in order for us to even begin the IOSS registration process. These resources are presumably swamped with requests from e-commerce retailers worldwide requesting for the assistance in IOSS registration. For this reason, we will be suspending all purchases from all countries in the EU until we are able to confirm that we can safely apply a VAT for our customers.
By paying for the VAT at the checkout page, our EU customers will not be subject to the possibility of Customs detaining the item and/or having to pay for the VAT upon delivery of the order in person. Reaching out and informing of these changes is the most important reason for our notice today, and we wanted to keep everyone in the loop concerning these changes.
Thank you for understanding, and we look forward to reinstating our services to the EU as soon as possible!
For more information on VAT and IOSS, please visit the links below from the European Commission website:
- Information on VAT: https://ec.europa.eu/taxation_customs/business/vat/vat-e-commerce_en
- Information on the IOSS: https://ec.europa.eu/taxation_customs/business/vat/ioss_en