ViDA and VAT modernisation
Changes to reduce the need for multiple VAT registrations
The Value-Added Tax (VAT) One Stop Shop (OSS) system makes it easier for businesses to handle VAT when selling to consumers in different European Union (EU) countries. Starting in January 2027, with further extensions from July 2028, the VAT OSS will be expanded to cover more types of sales including:
- electricity and natural gas
- supply and install contracts
- certain domestic supplies of goods and services.
Also, from July 2028, when businesses move their own goods between EU countries, they can report this through a new special OSS module. This will remove the need to register for VAT in each country.
These changes aim to make VAT administration simpler and more digital across the EU, especially for businesses operating in multiple countries.
Next: Next steps for VAT in the Digital Age (ViDA)