How does one handle EU VAT payments when selling on Shopify?

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if you sell to consumers in the EU, how do you pay VAT in each country? does Shopify offer any type of service in this direction? 


thanks for your help 


Replies 2 (2)

Shopify Staff
2280 250 510

Hey, @barbablù 


We have a terrific starting point here that goes over how you can get started with setting up EU taxes in your Shopify store along with some other EU-based tax references.


As always, you should consult a local tax professional for any particular questions that you may have that aren't available within these resources.


If there is anything else I can help you with, please let me know.

Dirk | Social Care @ Shopify 
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Shopify Partner
120 1 22

Hi Barbablu,


Depending on where your products are located and their price level you can: 

Intra-EU easy: OSS for all prices. By far the easiest since you can file everything in a single country.

Intra-EU complicated: You can register for VAT in all of the countries where you are selling - but this is not required anymore. And it is expensive. Only register when you are storing goods in other countries. 

Outside of EU: IOSS for goods below 150€. 

Outside of EU over 150€: Get a Delivery Duty Paid (DDP) from your logistics partner. Otherwise you will provide horrible customer experience and lose them. 


OR you can sell via marketplaces and in some instances they will be VAT liable instead of you the seller. 


IOSS and OSS require a simple registration. IOSS requires an Intermediary for non-EU sellers. 


We know talking to tax consultants is fun and inexpensive so you could just take up a solution like EAS Compliance and get the whole VAT map done simultaneously.


Book a meet for quick onboarding:


EAS EU & UK Compliance app is a fully automated European VAT solution for Shopify.