VAT package for e-commerce - what changes does Poczta Polska introduce?


On July 1, 2021, changes to the VAT package for e-commerce will come into force, which will consist in taxing mainly goods from China on sales platforms.Poczta Polska introduces VAT settlements and will act as an intermediary in the customs-import procedure between the European Union and non-EU countries.

VAT package for e-commerce - what changes does it assume?

The changes that will come into force include:

  • the import of low-value parcels in the EU will no longer be exempt from VAT (including those up to 22 euro);

  • extension in the scope of B2C transactions - they will be able to be settled using the simplified One Stop Shop procedure by using an electronic link, where it will be necessary to collect and pay tax. It concerns both the sale of goods imported from third countries to the territory of the EU (also in parcels up to EUR 150), and the delivery of goods to consumers within the EU.

On the basis of these assumptions, Poczta Polska signed an agreement with the technological company Poczta Polska Usługi Cyfrowe Sp. z o.o. on the development of software that will enable VAT settlement with the National Revenue Administration.

VAT package for e-commerce - consequences of introduced changes

The introduction of changes and implementation of the provisions of European law from July 1, 2021 will make it necessary for Poczta Polska to take over some of the tasks that previously belonged to the customs and tax service. It will become a "tax gate" between the European Union and countries outside it, especially China. After introducing the changes, Poczta Polska will be responsible for collecting VAT from buyers and transferring it to the tax administration.

VAT package for e-commerce - not only in Poland

The amendments concern the act on tax on goods and services, and more specifically the e-commerce VAT package, and implement the provisions of Council Directive (EU) 2017/2455 and Council Directive (EU) 2019/1995 into the Polish legal system. Their task is to improve the VAT collection system and to regulate and facilitate tax settlements in cross-border electronic commerce between consumers and entrepreneurs (B2C). Start a free 30-day trial period with no strings attached!

The discussed changes will also apply to other countries. In Poland, Poczta Polska will be responsible for this task. Entrepreneurs authorized to perform postal activities on the basis of an entry in the register of postal operators will declare goods placed in postal items that have been purchased outside the EU under the import customs procedure (including those of low value).

VAT package for e-commerce - benefits and impact on product prices

The purpose of introducing changes to the severance pay system is to relieve the tax administration, which is currently dealing with the settlement of tax on purchases on electronic platforms, as well as to increase revenues to the state budget. The new tool is to allow the free exchange of information between the National Revenue Administration and Polish Post. Currently, there is no data on the planning of price increases on sales platforms such as AliExpress. However, it is very likely that the prices of products from Chinese sellers will increase, or in the worst case that they will be unprofitable after the changes are made.