Import VAT on e-commerce: What will change from 1 July?

Attention! From 1 July, new European legislation will come into effect which will affect your online purchases. Want to learn more about it? Keep reading!

Regardless of the value of the goods you purchase, if you live in Mainland Spain and the Balearic Islands, from July you will pay import VAT on all online purchases made outside the EU, or in the Canary Islands, Ceuta or Melilla. 

This means that imported shipments with a value up to €22 will no longer be exempt from paying VAT and, from 1 July VAT will be payable on all shipments with a value under €22.

The new regulations include two different procedures  in order to facilitate the payment of VAT on your shipments with a value less than or equal to € 150 from outside the EU or the Canary Islands, Ceuta or Melilla.

1. Payment of VAT to Correos when the merchandise arrives.

2. Payment of VAT to the electronic platform at the time of purchase.

Important! The new regulations will not entail any changes for shipments with a value over €150.

Keep reading! 

EU VAT E-Commerce Rules Changes from 1 July 2021
GUIDE EU VAT E-Commerce Rules Changes from 1 July 2021

Frequently asked questions

How do I pay the VAT on shipments with a value below €150?

Two different procedures will be in place to make it easier to pay the VAT on your shipments with a value below €150 from outside the EU or from the Canary Islands, Ceuta or Melilla. 

1. Pay the VAT at Correos when the goods arrive.

2. Pay the VAT on the electronic platform when you purchase the goods.

1. Pay the VAT at Correos when the goods arrive.

The Spanish Tax Agency (AEAT) will authorise Correos to process the dispatch and payment of VAT for these types of goods on your behalf, when the packages are received.  

The shipments will be delivered to the recipients’ home address once the VAT has been paid, along with a postal dispatch fee (paid to Correos for carrying out the administrative procedures required to process the imported shipment). 

How do I make the payment prior to delivery? 

At Correos, we want to make things easy for you! For this reason, we are developing a payment system on the Correos app where you can register and make the corresponding payment. The aim of this app is to speed up the delivery process so you can receive your shipments as quickly as possible. 

2. Pay the VAT on the electronic platform when you purchase the goods.

The online shop outside the EU where you purchase your goods from may also enable the payment of this tax when you pay for your order. These companies will then be responsible for ensuring your payment reaches the AEAT via a procedure called Import One Stop Shop (IOSS). 

How do vendors access this procedure?

The online platforms must register with the Tax Agency in order to obtain an identification number (VAT ID no./IOSS no.) which is needed to carry out the procedure. This will be the number they give the postal operator in the country of origin so that the operator can then inform the destination country of the type of goods being received in the documentation attached to the shipment. 

Correos will then deliver the shipment to your home. 

How do I pay the VAT on shipments with a value above €150?

The new regulations will not entail any changes for shipments with a value over €150. All recipients of goods worth over €150 will have to pay VAT and the corresponding customs duty as they already currently do. 

Correos will get in contact with you so you can decide whether you want Customs to carry out the procedures on your behalf or whether you prefer to do it another way.  

Remember that this procedure also covers shipments subject to special taxes (tobacco, alcohol, etc.) or subject to additional safety controls (pharmaceutical or health checks, etc.) or any other fees or controls that the Spanish Tax Agency (AEAT) deems necessary for any reason.

Further information on the new regulation on VAT for e-commerce

All the additional information you may need on this new regulation is available on the following web pages:

AEAT: VAT and e-commerce; 

European Commission VAT Portal: VAT on e-commerce.