
"On May 13, 2025, the Council of Finance Ministers (ECOFIN) reached a political agreement on Directive 2023/0158, which will reform how VAT is collected on distance sales of imported goods with a value under EUR 150. The new rules will take effect on July 1, 2028."
New rule. Not currently in effect, but coming. Seller will have to--eventually--collect VAT. No more customer paying at delivery. States it very, very plainly. You are just playing evasive games. You are right it is not currently this way, but in a bit more than two more years, it will be. Same approach by the EU towards VAT as the US towards tariffs. So, "make the seller collect and pay," which has generated so much indignant outrage here, is not really only a "current US administration thing." Seems the EU feels it is a legitimate way to collect its taxes as well.
If the tariff de minimis ends, they want to collect it the same way, as shown by their proposal. The idea of using IOSS for collecting both, which mandates the seller collect and pay, is very attractive, and is the preferred method for use should this proposed de minimis end. Same thing applies. The EU thinks making the seller collect their taxes is a good approach, and will be implementing it for VAT (so why not tariffs?)
So, as I started out above, I find some of the hypocracy expressed here by some posters amusing. Outrage at the current administration for "daring to think" that making the seller collect and pay was even a notion, let alone a good one, while simultaneously apparently not even being aware that the EU has been up to the same thing, and for several years by the looks of it. And, they have now achieved it for VAT, effective in 2028.
And that was my main point at the outset. US and EU motives for changing their importation taxation rules are identical, and the methods they are moving to, or want to move to, are identical
And, I then find the hypocricy amusing.
This got lost in the discussion. It became a debate over whether EU de minimis is ending. It might. My mistake. It was recommended, is now under consideration by one major EU governing body, and has been passed by the other major EU governing body. There is no debate on VAT. It will become the seller's job to collect, in July 2028.
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Sorry, but you are talking about two different things:
a) tariffs and that it could be - but is not yet decided!!!! - that also below 150 € tariffs have to be paid
b) how VAT is paid.
Your AI summary is only talking about b) and correctly states that currently the situation is that for small-businesses currently the way is "Customer pays at delivery". In the future, this will (could?) change. Currently, there is no huge burden on the seller, if they do not use IOSS. There is some burden on the buyer.
Regarding a): in an article from July 2024, they write "has made some progress", "Negotiations are still ongoing", "Since then, the process of getting it adopted by the European Council has started." At that time, it was not decided. And that is my problem: these are old articles talking about things which could happen in the future... And sometimes the dates passed and this things did not happen...
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