What is VAT?
Value-Added Tax, or VAT, is in general a broadly based consumption tax assessed on the value added to goods and services. It is ultimately borne by the final consumer and is charged as a percentage of selling price, including transportation fees and any other services included in the sale. To learn more on VAT in EU, please follow the link:https://ec.europa.eu/taxation_customs/business/vat/modernising-vat-cross-border-ecommerce_en
Why I need to pay for EU VAT when ordering on Yambo Shop?
To protect the fairness of both European Union online and offline trading, from 1 July 2021, European Union released some tax rules towards cross-border e-commerce. These rule will take effect on the online orders which sold to 27 European Union countries. The official information can be found in this link: https://ec.europa.eu/taxation_customs/business/vat/modernising-vat-cross-border-ecommerce_en
Accordingly, Yambo Shop generally might need to collect VAT on sales of goods delivered to EU consumers for some circumstances:
1) where goods are delivered from outside of the EU with order value of up to 150 EUR, or
2) all orders where goods are shipped from within EU where the seller is established outside the EU.
For all goods shipped from outside of EU and VAT-collected by Yambo Shop, our sellers and their logistics operators will need to include the Import One Stop Shop (IOSS) number of Yambo Shop in their import declaration into EU, this is to ensure that the goods can then be released for free circulation and delivered to you without being charged with VAT or any additional handling fees at the customs.
If you have further concerns on the product prices and EU VAT-related questions, you’re also advised to contact seller for further checking and confirmation.
How is VAT calculated? What is the VAT rate applicable in my country? Why some products are sold at a different VAT rate?
A: VAT is generally charged based on the price (considering both goods and shipping fees) at the applicable VAT rate. The VAT rate differs depending on the type of goods purchased in the country of final destination. The standard VAT rate in the EU is in the range of 17 – 27%, and some countries offer reduced rate for certain types of goods. You may look up the applicable VAT rate here:
How much VAT I need to pay for ordering on Yambo Shop?
A: For the specific VAT amount, please kindly go to the check-out page for further reference.
Why the price at check-out is different from the price on products details pages?
A: Prices may be updated at check-out due to several factors, including seller’s changes of product price, change of currency, exchange rate, the ship-from location, the actual delivery address (country), the delivery model selected, promotion, discounts or coupons applicable. VAT calculation will be updated accordingly upon check-out.
Will I be charged again when goods deliver to my country?
If you have paid for order with VAT in Yambo Shop, normally, VAT should not be charged again by Customs/logistics provider.
In case you were charged again, please keep the invoice and submit it to customer service team for further checking.
Documents required:
1. Invoice of import VAT issued by Customs/logistics service provider (with tracking number and VAT amount)
2. Proof of payment for that invoice
3. Any customs document on the release of the goods, including the shipping label of the package
Will VAT be returned back to me when the order was refunded?
For orders where Yambo Shop wasn’t collecting VAT, it is usually for the buyers and sellers to discuss on how to handle the relevant tax matters. You may further check with the sellers and relevant tax/customs authorities to understand more about this.
For orders where Yambo Shop collected VAT, Yambo Shop will calculate and refund the VAT according to the specific refund dispute type.
Should I pay the custom duties if I already paid VAT?
VAT and customs duties are different types of taxes.
From 1 July 2021, Yambo Shop is required under the new EU e-Commerce VAT rules to collect VAT for orders at EUR 150 or less that are shipped from outside of EU to buyers located in EU at check-out. Such VAT collected orders shall be declared for customs with Yambo Shop IOSS number, and you will not be charged with VAT again.
Parcels with goods valued no more than EUR 150 shall also enjoy customs duty exemption. Parcels with goods valued more than EUR 150 will be subject to VAT and customs duties as appropriate upon importation.