[alibarber]

But there is no threshold for cross-border selling in the EU.

Fine if you're selling widgets at a market in Germany - but if you sell software abroad, make sure you're following [each] one of the 27 VAT codes correctly.

(From what I understand - would love this to be wrong)

[yujzgzc]

Following US sales tax has way more complexity. In my county alone there are many different rates depending on the city in which the sale is made. Even just finding out authoritatively which jurisdiction to pay taxes to is nontrivial, practically impossible to solve without dedicated software.

[friendzis]

> Fine if you're selling widgets at a market in Germany - but if you sell software abroad, make sure you're following [each] one of the 27 VAT codes correctly.

Yes.

> But there is no threshold for cross-border selling in the EU.

Kinda, but misinterprets the VAT itself.

Basically, VAT is paid at the point of sale and local thresholds apply.

[bluecalm]

>>Kinda, but misinterprets the VAT itself.

>>Basically, VAT is paid at the point of sale and local thresholds apply.

The threshold is 10k EUR (total sales to EU). The point of sale in case of software/electronic services is the country of residence of your customer. You need to collect two pieces evidence of that location, usually billing address and IP. If those don't match (your customer has used a VPN for example) you need a 3rd piece.

One Stop Shop helps with it (when I was starting my company it didn't exist and predecessor VAT MOSS was just being introduced and no one knew how to comply with it) but you still need to charge local VAT rates and report quarterly.