Server Infrastructure Upgrade & EU IOSS VAT
In this post we are providing an update on the server infrastructure upgrade and new EU VAT Changes that you can optionally choose to participate in.
WEBSITE INFRASTRUCTURE CHANGES
As described in previous bulletins, as part of our continuous investment in the technology that powers your website and provides security and data backups, we are planning to upgrade our infrastructure which has now been built.
We are in the process of planning the migration with our data centre specialists and will advise in due course of a scheduled downtime slot for the data migration and what will happen.
We are provisionally looking to make the change in mid-July.
We will contact you again as soon as possible once a date has been set.
EU VAT CHANGES 1st July 2021
New rules come into effect for the calculation and collection of VAT when selling to EU consumers as outlined on the EU website and also described on the Sage website.
As part of these changes, UK businesses can choose to opt-in to the EU's Import One-Stop Shop scheme (IOSS). This allows UK sellers to charge EU consumers VAT on orders up to a value of €150 at the prevailing VAT rate in the buyer's member state.
This is optional.
You can continue to operate as normal without making this change and the buyer will continue the present system of paying VAT plus relevant Customs / Excise duties when they receive the goods into their own country.
You can also join the scheme after the 1st July 2021 deadline rather than participating straightaway.
If you do wish to operate IOSS you will need to make changes to your REC+ website settings as described in this article:
There is a small charge of £190+VAT to cover order/invoice template changes.
For general questions regarding these new changes and how to register for IOSS, please refer to your accountant or tax advisor.