What is the “Mini One-Stop Shop”, or MOSS?
The “Mini One-Stop Shop” (MOSS) gives the opportunity to the vendors of digital services, which rendering the B2C sales, to register with a single Tax authority in one country of the EC where they can report for all of their deals for VAT in all EC’s countries.
As we known, when company carrying out the E-Commerce business activity in EC when the vendors are taxable person from one European country rendering the services to non-taxable persons (physical persons or public authority), then the vendors must apply VAT of the countries where customers belonging. There are 28 EC member states and each one has different VAT rate.
With MOSS the vendors has the right to register in one EC country for declaration of VAT for each EC countries where the E-commerce services are rendering. It usually be the “home” tax authority of vendors.
Non-EC vendors of E-Commerce services without establishment in EC can select the country of registration in tax authority for their MOSS. This country be known as the member state of identification (MSI).
Vendors, that are registered with MOSS, are issuing the invoices to customers applying VAT rate of the European country where the customers belonging. The VAT amount income shall be paid to tax authority of MOSS registration.
Returns with MOSS are made quarterly and processed by electronic means via the MSI.