Completing an Import One Stop Shop VAT Return
How to fill in your Import One Stop Shop (IOSS) VAT Return and the records you need to keep when reporting the VAT due on imports of low value goods to consumers in the EU, Northern Ireland, or both.
You should only complete this return if you’re registered for the VAT IOSS scheme.
What to include in your return
All VAT due on eligible imports of low value goods to consumers in the EU or Northern Ireland (or both) must be reported on your monthly return.
The availability of IOSS in Northern Ireland will not impact Northern Ireland’s place in the UK VAT system.
You must not report the VAT on your sales of low value goods that are located in Great Britain (England, Scotland and Wales) at the point of sale to consumers in Northern Ireland on your IOSS VAT Return. The VAT due on these sales must be reported on your UK VAT Return. This includes sales from the Isle of Man to Northern Ireland.
The tax period for the return and your registration number are entered automatically.
You must enter any currency amounts in pounds sterling. If you need to convert currency, you must use the exchange rates published in the European Central Bank website on the last day of the calendar month to which the VAT return relates (or the next available day if there was no publication on that day).
You’ll need to give details of all eligible imports of low value goods to consumers in the EU, Northern Ireland, or both.
Use the drop-down option in the IOSS online service to select each country you’ve imported goods to during that period.
For each country, you’ll be asked to give the total:
- value of sales (excluding VAT) made at each VAT rate
- VAT charged at each rate
You must use the VAT rates of the EU country where your consumer is located. Find out about EU VAT rates in the European Commission website.
The IOSS online service will estimate the amount of VAT due based on the information you’ve given. You will be asked to confirm if the amount is correct.
If you do not sell any goods during a tax period
You must submit a nil return if you do not make any sales of low value goods to consumers in the EU or Northern Ireland (or both) during the tax period. This means you must give a ‘no’ response to each question on the return and submit it as normal.
If you submit a nil return each month for 2 years, HMRC will cancel your registration.
How to correct a previous return
You can correct your return at any time before it’s submitted.
Once you submit your return you will not be able to correct it, you will need to include any errors in your next or a later return.
You will have 3 years from the date the return was due to be submitted to correct any errors.
When you complete your next return, you’ll have the option to make corrections to an earlier return by:
- changing the total VAT amounts you’ve previously declared to each country
- adding VAT amounts on sales for each country that you did not include on an earlier return
Sale of goods overdeclared on your return
If you over-declare the amount of VAT due on goods sold in a tax period made to consumers in:
- Northern Ireland, HMRC will be responsible for issuing a refund
- the EU, the country where you have over-declared will be responsible for any refund
Records you must keep
You must keep records as evidence to support the information you submit on your monthly IOSS VAT Return.
For each sale, you must keep records of the:
- country where you made the sales — this will either be an EU member state or Northern Ireland
- description and quantity of goods supplied
- date you supplied the goods
- taxable amount, including the currency used
- increase or decrease of the taxable amount, if any
- VAT rate you applied
- amount of VAT due and the currency used
- payments your business received — the dates and amounts
- information shown on any invoices you issued
- information used to decide the place where the dispatch (sent from) or transport of the goods the consumer ends
- proof of returned goods including the taxable amount and VAT rate
- order number
You must keep records of all eligible VAT IOSS sales for 10 years and be able to send these records to HMRC electronically if asked. The One Stop Shop Standard Audit file (SAF-OSS) can be used for keeping electronic records and is available on the OSS European Commission website ― How does the taxable person or intermediary make these records available to the tax authority?.
How to submit your return
Find out how to submit an IOSS VAT Return.