How to Use the One Stop Shop (OSS) and Import OSS (IOSS) in Estonia

One Stop Shop (OSS)

The One Stop Shop (OSS) is a special VAT scheme in the European Union that simplifies VAT obligations for businesses engaged in cross-border B2C (business-to-consumer) sales of goods and services within the EU.

Since its introduction on 1 July 2021, OSS has helped businesses avoid registering for VAT in multiple EU countries by allowing them to declare and pay VAT in one Member State.

✅ Who Can Use OSS?

The OSS scheme is intended for:

• EU-established businesses selling goods or services to non-taxable persons (B2C) in other EU countries;
• Online stores, e-commerce platforms, service providers delivering digital, telecom, broadcasting, or other services across the EU;
• Marketplaces and platforms that are deemed suppliers for VAT purposes.

OSS applies only to B2C sales within the EU. It does not apply to B2B transactions.

 

📦 What Activities Are Covered?

Under OSS, you can declare VAT for:

• Distance sales of goods to customers in other EU countries;
• Cross-border services (e.g. digital services, telecom, event entry, etc.) provided to consumers;
• Sales made through electronic interfaces or platforms acting as a deemed supplier.

 

🇪🇪 How to Register for OSS in Estonia

Businesses established in Estonia must:

1. Log in to the e-MTA portal (e-services of the Estonian Tax and Customs Board);
2. Submit an application for OSS registration (Union scheme);
3. Wait for confirmation and receive a unique OSS VAT identification number.

Once registered, you must apply the scheme to all relevant EU sales — you cannot choose to apply OSS for some countries only.

 

🧾 OSS VAT Returns

• OSS returns are submitted quarterly;
• You must declare the total sales and VAT per country where customers are located;
• Returns are submitted via e-MTA;
• Payment is made to the Estonian Tax and Customs Board, which then distributes VAT to the appropriate EU countries.

Deadline: By the end of the month following each calendar quarter (e.g. Q1 return is due by April 30).

 

💼 Practical Benefits of OSS

• No need to register for VAT in every country where you sell to consumers;
• Simplified accounting and centralised VAT payment;
• Reduces administrative burden for cross-border e-commerce.

 

 

🔄 Deregistration and Updates

If you no longer meet the conditions or wish to leave the scheme:

• Submit a deregistration request via e-MTA;
• Ensure that all previous OSS obligations have been fulfilled;
• You cannot rejoin the scheme for at least two calendar quarters after leaving.

 

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Import One Stop Shop (IOSS) Scheme

The Import One Stop Shop (IOSS) is a special VAT scheme for distance sales of goods imported from outside the EU to end consumers within the EU. It allows businesses to simplify VAT declaration and payment for low-value goods.

✅ Who Can Use IOSS?

IOSS is available to:

• Sellers and electronic platforms importing goods to the EU;
• Distance sales of goods not exceeding €150 in value per shipment;
• Non-EU businesses using EU-based intermediaries for IOSS registration.

IOSS is only for B2C sales of non-excise goods located outside the EU at the time of sale.

 

📌 How IOSS Works

• The seller collects VAT at the time of sale;
• No additional VAT or customs fees are charged at delivery;
• The seller declares VAT through monthly IOSS returns;
• VAT is paid in the Member State of registration and redistributed to the destination country.

💡 Benefits

• Faster and smoother customs clearance;
• No surprise VAT bills for customers at delivery;
• Centralised reporting for all applicable EU countries.

 

📥 IOSS Registration in Estonia

Businesses can:

• Apply via the e-MTA portal;
• Appoint an intermediary if established outside the EU;
• Receive a unique IOSS identification number.

Registration is mandatory before the first sale under IOSS.

📋 IOSS Returns

• Monthly returns are required;
• Include total value of goods, VAT collected, and country of destination;
• Returns are submitted via e-MTA.

📊 OSS vs. IOSS – Comparison Table

Feature	OSS	IOSS
Applies to	B2C sales within the EU	B2C sales from non-EU to EU
Type of goods/services	EU-based goods & digital services	Imported goods (≤ €150)
VAT threshold	No threshold	Only for shipments ≤ €150
Return frequency	Quarterly	Monthly
Customer VAT payment	At point of sale	At point of sale (no VAT at delivery)
VAT collected by	Seller	Seller
Destination VAT rates	Yes	Yes
Customs simplification	Not applicable	Yes – faster clearance
Registration via e-MTA	Yes	Yes
Mandatory for use?	Optional	Optional (but fixed once used)
Use of intermediary	Not required	Required for non-EU sellers

 

 

Useful Links

• Estonian Tax and Customs Board – OSS & IOSS
• EU Commission OSS Portal