France Tax Agency Issues Administrative Doctrine on VAT Treatment of Dropped-Shipped Distance Sales of Goods

The French General Directorate of Public Finances March 4 issued an administrative doctrine on the VAT treatment of drop-shipped cross-border distance sales of goods to customers in France or other EU countries, by sellers that have not joined the Import One Stop Shop (IOSS). Topics covered include: 1) the place of taxation for distance sales of imports is the EU country of destination; 2) for parcels under 150 euros (US$173) in intrinsic value where the seller has not opted for the IOSS, the import isn’t taxable in France, but the seller would be liable for VAT due upon import in ...