The finance ministers of the European Union have agreed to simplify the rules on the taxes of the online sellers. In this way, in place of registering for VAT In each country of the European Union, online sellers in the future will be able to make a single tax refund for the entire European Union. This should reduce costs for e-commerce companies and increase tax refunds for European countries.

El consulate of the European Union started to adopt all these new rules since yesterday, the Estonian finance minister commented that all this new variety of rules in the VAT system they are going to make Europe a suitable place for the digital economy. “We will achieve both a reduction in business expenses and an increase in tax refunds in the member states. This was one of the highest priorities of our presidency, ”says Toomas Toniste.

For entrepreneurs who are starting their business, this whole process will become much easier for them. Companies that are within the range of less than 10.000 euros per year may continue to apply the VAT rules of your home country.

The new rules also mean that online sellers They will not be required to register for VAT in all member states where they sell their products. Based on the information provided to us by the European Commission, these obligations cost companies around 8.000 euros for each country of the European Union in which they sell. The commission estimates that this new rule will save businesses 2.3 million euros and increase tax refunds to 7 million euros for member states.