Our software takes your departure country (country goods or services are sold from) as default taxation place. But once your sales in a destination country reaches a certain amount per year you need to pay VAT in the destination country. In order to pay VAT in the destination country you need to register a VAT number there . You need to always keep an open eye on your distance sale thresholds in order to know when it's the right time to register a VAT number in the destination country.  Luckily our software monitors your sales thresholds automatically once you synchronized your Amazon Seller Account with it. Read more on how to set up your VATjar account.


NOTE: aside from sales thresholds in a destination country, the other criteria for registering a VAT number in a country is if you store goods there.  Read more about storing goods in a country here.


Distance selling affects only EU member countries and only B2C transactions. A distance sale occurs once goods are dispatched or transported from one EU member country to another. 


In the following table you can see the distance sales limits in all the countries in the EU:


Country
Threshold
Austria
EUR 35.000
BelgiumEUR 35.000
BulgariaBGN 70.000
CroatiaHRK 270.000
CyprusEUR 35.000
Czech RepublicCZK 1.140.000
Denmark        DKK 280.000
EstoniaEUR 35.000
FinlandEUR 35.000
FranceEUR 35.000
GermanyEUR 100.000
GreeceEUR 35.000
HungaryEUR 35.000
IrelandEUR 35.000
ItalyEUR 35.000
LatviaEUR 35.000
LithuaniaEUR 35.000
LuxembourgEUR 100.000
MaltaEUR 35.000
NetherlandsEUR 100.000
PolandPLN 160.000
PortugalEUR 35.000
Romania
RON 118.000
SlovakiaEUR 35.000
SloveniaEUR 35.000
SpainEUR 35.000
SwedenSEK 320.000
United KingdomGBP 70.000


NOTE: once you reached the limit in a specific country you are bound to register a VAT number there, and must therefore from that point on, use that country's specific VAT rate and pay VAT in that country.