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Is I-OSS the New ‘Brexit’ for Logistic Service Providers?


On July 1st, 2021, adjustments to the VAT procedures and implementation of the H7 dataset system will enter in force across the European Union. ViaEurope is all set to assist its customers to transition smoothly to these new obligations and help avoid another logistic mayhem.

AMSTERDAM, June 15, 2021 /CNW/ — ViaEurope, a leader in e-commerce logistics in Europe announces today the launch of its technology solution designed to prevent the similar chaos that followed Brexit last January. Two weeks only before new customs procedures and declaration systems will be officially implemented across the EU, the company understands from its customers that confusion and complexity remain among e-Commerce suppliers. “Just like with Brexit, they are struggling to adjust to new requirements following the coming EU customs regulations. Many actually fear that hundreds of thousands of parcels won’t be processed on time resulting in huge delivery delays,” confirms BJ Streefland, ViaEurope’s CEO. The latter also warns, that, unlike Brexit, there won’t be any transition period following the new I-OSS procedure implementation.

In the light of all the coming changes, as a tech company, ViaEurope wasted no time adjusting its unique platform and came out with solutions to answer the market’s concerns.

Every EU Member State has implemented a new declaration system following the introduction of the H7 dataset. By using the H7 dataset, shippers and sellers will be able to clear e-commerce shipments with an I-OSS number and get exemption of the VAT at import. ViaEurope is the first company in Europe to connect both the DECO (NL) and IDMS (BE) declaration systems which were set up by the two countries’ respective customs authorities.

Under these new rules, where “bulk clearance” will no longer be possible, more challenges will arise, especially if the seller hasn’t got an I-OSS number. In this specific case, or when the shipment’s value is above 150 euros, it will become either an administrative nightmare or a technological challenge to customs clear all B2C shipments in one country without creating T1 documents. The alternative being to use declaration systems such as AGS in The Netherlands, which were not designed for e-Commerce.

For this scenario, ViaEurope has put together an innovative approach that will allow customers to easily declare and process both I-OSS and non-I-OSS shipments consolidated in one e-HUB, for example Amsterdam Schiphol Airport. Over the past five years already, ViaEurope has taken the lead regarding e-commerce customs clearance automation, resulting in a smooth experience for the customer as their shipments are cleared in either AGS or DECO in The Netherlands.

Taking into account that the new I-OSS regulation does not cover B2C shipments with a value >150 euros, platforms won’t be responsible for collecting and paying the VAT. The seller will still have the obligation to declare and pay VAT in the country where the transaction took place. This might be a different country from where the import declaration was made, potentially resulting in double taxation. To avoid such an unpleasant and un-efficient situation, ViaEurope leverages both its technological and legal capabilities to defer the VAT due at import to the VAT number of the seller in the country of destination.

As a reminder to the market, ViaEurope also states that unlike with Brexit, the European Union decided against a transition period for the introduction of the I-OSS. Which means that from July 1st at 00:01, VAT must be paid for all B2C shipments, including the goods sold before July 1st yet arriving in the EU after July 1st. “Shipments sold before July 1st cannot be cleared using the H7 dataset but only using the traditional declaration systems like AGS (NL). Alternatively, parcels can be shipped with a T1, and customs cleared in each EU country individually, but we do not provide this costly and ineffective service for B2C parcels,” explains the CEO.

ViaEurope’s capacity to swiftly adapt to new regulations or implementation of new customs’ systems is not a coincidence. The company’s solid IT foundations and data analysis capacities enable its team to anticipate challenges. Chief Product Officer at ViaEurope, Bart Gerretse emphasizes that in-house developed technology added to an effective understanding of customs responsibilities add immense value to the chain of services the company offers today. “Technology is our core business. Logistics comes second. That’s why for five years now, our squad of developers has been working with intelligence and creativity to build up a smart and agile platform. A platform that can support hundreds of thousands of declarations each day. A platform that allows us to morph when needed, simply because this is how we predicted e-logistics will be. July 1st is around the corner and we are ready. I even dare to say it will be business as usual for us.

About the company

ViaEurope is an e-logistic company based in Amsterdam. Although it has been the business of technology and logistics for five years already, the company still operates and grows with a start-up mindset. Technology is at the core of the company strategy. ViaEurope processes more than 350 tons or over 300,000 e-commerce parcels each day. The majority of its volume comes by air, sea, rail, and road and transit via its connected warehouses or e-HUBs located at Amsterdam Schiphol Airport and Liege Airport in Belgium. For more information check out our website viaeurope.com and our LinkedIn profile.

For more information (press only)
Sarah Douag

Head of Communications ViaEurope
0031 646 32 43 11
[email protected]

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ViaEurope I-OSS
New I-OSS regulation starting on the 1st of July

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View original content:http://www.prnewswire.com/news-releases/is-i-oss-the-new-brexit-for-logistic-service-providers-301311414.html

SOURCE ViaEurope

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View original content: http://www.newswire.ca/en/releases/archive/June2021/15/c0980.html



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