Selling with WooCommerce

Goods outside the UK at Point of Sale (Non-UK Businesses)

When selling with WooCommerce to customers in the UK with a consignment value of under £135, you will need to be VAT registered from your first sale. All sales with a consignment value of less than £135 will be subject to VAT at the point of sale from the seller. 

If the consignment value is over £135, you can choose who the importer of record for the sale is: yourself, or the customer. If you are the importer of record then you must be VAT registered, charge VAT at the point of sale, pay import VAT and reclaim it on your VAT return. 

Goods inside the UK at Point of Sale (Non-UK Businesses)

If you have goods within the UK to sell onwards to customers, you have created a taxable supply and must be VAT registered. You must charge VAT on all sales made to UK customers. Any import VAT paid can be reclaimed on your VAT return (excluding those businesses that are under the Flat Rate Scheme).

As a seller, you must charge the UK VAT rate applicable to your products on all sales made to UK customers. 

Goods outside the EU at Point of Sale

For goods based outside the EU at point of sale below €150, you will be eligible to report these sales through the Import One Stop Shop (IOSS) scheme. The IOSS scheme is aimed at simplifying VAT compliance and importation of low value goods. IOSS allows you to report all your EU sales on a single monthly VAT return and expedite customs processes.

For goods above €150, you need to VAT register at the country of importation and charge VAT at the customer's local rate.

If you are selling digital goods or services, you will be able to report these sales through the non-Union OSS scheme. 

Goods within the EU at Point of Sale

If your goods are based within the EU at the Point of Sale, you will be eligible to register for the One Stop Shop (OSS) scheme in the country in which your stock is held. Through OSS you can report all your intra-EU distance sales in a single quarterly return. 

You will need to hold a local VAT registration in each of the countries you hold stock in. 

If you are selling digital goods or services, you will be able to report these sales through the non-Union OSS scheme. 

You should always be charging the local VAT rate applicable to where your customer is based. Unless you have not crossed the EU-wide Distance Selling Threshold of €10,000. This is inclusive of all intra-EU sales.