Canadian online merchants are gearing up for serve European customers and none more so than direct to consumer (DTC) ecommerce sellers.   The European union has provided a new rule books that mandates registering and payment for VAT in advance of importing the goods to Europe.  In exchange, goods can be transported border free across all EU countries.   

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European countries are implementing rules that make importing ecommerce more clear and consistent across all countries.   For orders less than €150 (around CA $220), it is mandated that VAT be collected at point of check out.   The goods can then be cleared using streamlined "green channel" for faster clearance and - most important for ecommerce sellers - no consignee fees.

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Among the key issues confronting e-commerce parcels being shipping cross border has been how to minimize, access and pay duty fees. But with higher duty free thresholds, lower duty rates over all, the key concern is now payment of Value Added Tax.

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European countries are implementing rules mandating prepayment of VAT for e-commerce orders. The directive is part of the “Digital Single Market Strategy for Europe" to ensure VAT collection for international online orders.  Jet Worldwide offers best in class shipping solutions for online orders to Europe and the UK from US and Canada.

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