According to European law, any businesses that sell goods directly to customers via the internet (on your own website or on a platform such as Amazon or Facebook) will be obliged to register for VAT if either of the following requirements is met:
1. Ownership of stock in a foreign country
- If your goods are stored in a foreign European warehouse or fulfilment centre, you are obliged to register your business in those European countries the moment your stock is stored in those countries.
- If you use Amazon’s FBA service, you are obliged to register in all countries in which you use fulfilment centres.
- Use of Amazon’s Pan FBA service requires immediate registration in 7 countries.
2. Distance sale
If you export goods from your local jurisdiction into other EU countries, you are required to register in each of those countries once you exceed their country-specific sales threshold.