INFORMATION FOR RECIPIENTS OF GOODS INSERTED INTO POSTAL ITEMS FROM THIRD COUNTRIES
If you are about to receive an international postal item containing goods from non-EU countries, regardless of whether it was ordered online or is a gift from a friend, you may have to follow a customs clearance procedure. We will help you to do this, i.e. to submit the required declarations and documents and to pay the relevant fees, with our service:
With effect from 1 July 2021
- VAT will be charged on all goods imported from third countries or territories (subject to distance selling) imported into the EU, regardless of their value.
- Special regimes are introduced for simplifications in the collection of VAT on imports of items with an intrinsic value not exceeding EUR 150:
1) Special regime for distance selling of goods imported from third countries or territories (Scheme for Import One-Stop-Shop - IOSS).
2). Special regime for declaration and deferred payment of import tax.
These simplifications have been transposed into the national tax legislation with the amendment of the VAT Act of 08.12.2020, and are in force as from 01.07.2021.
In this regard, as of 01.07.2021 a Customs declaration was introduced with a reduced dataset under column H7 (Customs declaration for release for free circulation of an item which benefits from an exemption from import duties in accordance with Article 23 (1) or Article 25 (1) of Regulation (EC) № 1186/2009).
The schemes for submission of a Customs declaration with a reduced dataset under column H7 are three and they are:
- Special regime for distance selling of goods imported from third countries or territories/ /Scheme for Import One-Stop-Shop – IOSS/
- Special regime for declaring and deferred payment of import tax /Special regime /;
- Standard scheme.
1. What is the Special regime for the distance sales of goods imported from third countries or territories? /Scheme for Import One-Stop-Shop– IOSS/?
IOSS is a system for online sellers and online markets/platforms that facilitates the collection, declaration and payment of VAT on their distance sales of goods to buyers in the EU.
IOSS also facilitates the process for the buyer, who will be charged only at the time of purchase /at the time of purchase the buyer pays VAT /, as a result of which he will not have to pay unexpected fees for the delivery of goods. Customers do not have to provide documents in connection with customs clearance /declarations, order from a website, etc. /except for an identity document/ power of attorney, necessary for the delivery of the item.
Upon delivery of the items under the Scheme for Import One-Stop-Shop (IOSS), the client will sign a power of attorney for Indirect Representation of BP to the Customs Agency/ for preparation of a Customs declaration with a reduced dataset under column H7 / for the respective item.
No application is sent to Bulgarian Posts that the customer will represent himself to the customs authorities.
If the seller is not registered under IOSS, the buyer will have to pay VAT and customs clearance fee charged at the time of importation of goods into the EU.
2. What is the special regime for declaration and deferred payment of import tax /Special regime/ ?
The special regime is for the postal operators /courier services for declaration and payment of VAT on import, in case sellers or markets / platforms do not choose to register under the Scheme for One-Stop-Shop Import Scheme (IOSS).
In the event that online sellers or online markets / platforms have not registered under IOSS, VAT must be collected before the delivery of the goods to the customer by the postal operator /courier service responsible for the delivery of the item. The VAT collected will be paid to the competent authorities on a monthly basis by the postal operators / courier services.
The special regime for declaration and deferred payment of import tax may be applied by Bulgarian Posts Plc if the following conditions are met simultaneously:
- the goods in the items have an intrinsic value not exceeding the BGN equivalent of EUR 150;
- the goods are other than excise goods;
- goods which are not subject to a special regime for the distance selling of goods imported from third countries or territories (IOSS);
- goods that are allowed for free circulation on the territory of the country;
- goods the dispatch or transportation of which ends on the territory of the country;
- goods of which the recipient is a non-taxable person (natural person) established on the territory of the country;
Bulgarian Posts Plc will perform all customs formalities for you - by submitting a Customs Declaration with a reduced dataset under column H7 to the Customs Agency and pay the incurred VAT liabilities for the goods in the item, for which you will sign a power of attorney for Indirect Representation of BP to the Customs Agency for the delivery of the item, without being necessary to take in advance any action
The price for providing the service is BGN 3.90, according to the prices of Bulgarian Posts Plc.
The price for the service of BGN 3.90 and the VAT due are paid by the customer at the post office upon delivery of the item. Customers do not have to provide documents in connection with customs clearance / declarations, order from a site, etc. /except for an identity document/ power of attorney, necessary for the delivery of the item.
In case the goods do not meet the above conditions at the same time, they must be declared with a customs declaration with a reduced data set (H6) or with a standard customs declaration (H1). In this case, the customer will be notified that his item has been detained for customs clearance.
- Bulgarian Posts Plc has the right to submit, on behalf of the customer, customs declarations with a reduced dataset (H6) for the admission of postal items for free circulation in respect of the goods in them. The price for the service "Customs Representation" /Preparation and submission of a customs declaration for release for free circulation - H6 / is BGN 16.80 including VAT, with effect from 01.07.2021;
- For the preparation of a customs declaration /standard customs declaration/ for one type of goods a price of BGN 36.00 is paid with VAT included;
- For the preparation of a customs declaration for each subsequent content piece a price of BGN 9.60 is paid with VAT included.
3. What is the Standard scheme when submitting Custom declaration H7 (without using the two special regimes - IOSS or Special regime)
The standard scheme for submitting Custom declaration H7 is for recipients of items who wish to present themselves to the customs authorities. A customs declaration with a reduced dataset under column H7 may be submitted as of July 1, 2021 in the Customs Information System for Import (CISI) of the Customs Agency, provided that:
- the intrinsic value of the item does not exceed EUR 150;
- the item does not contain excise goods;
- the goods inserted in the item are not subject to prohibitions and restrictions.
In case the goods do not meet the above conditions, they should be declared in the CISI with a standard customs declaration under column H1 of the Delegated Regulation.
Information can be found on the website of the Customs Agency
Please send the completed electronic customs declaration with reduced dataset at import / by column H7 / to Bulgarian Post at e-mail address [email protected] together with the application completed and signed by you attached here to.
If you postpone the completion of the customs declaration for later, you can only send the application to inform Bulgarian Post about your intention to represent yourself.
Online retailers and online platforms cannot use the IOSS scheme to declare distance sales of goods made before July 1, 2021.
Therefore, goods purchased from a third country or territory before 1 July 2021, for which customs processing in Bulgaria takes place on or after 1 July 2021, will be subject to VAT and payment of the price for the service of Bulgarian Posts / BGN 3.90 / for filing a Customs declaration with a reduced dataset under column H7 at the Customs Agency and payment of the VAT due liabilities for the goods upon delivery of the item.
What does not change as of July 1, 2021?
- There is no change in the collection of customs duties and VAT on imported goods with postal items worth more than 150 euros;
- There is no change regarding the receipt of small items containing goods of a non-commercial nature, imported from third countries or territories, from a natural person to another natural person, of a total value up to the BGN equivalent of EUR 45.
The benefits for you as a consumer
As an online shopper in Europe, you don't have to do anything specific to comply with the new VAT rules. They are designed to ensure fair taxation and to provide simpler and more coherent VAT rules for all participants concerned.
Moreover, as of 1 July 2021, for goods whose value does not exceed EUR 150 and which you have purchased from outside the EU, these changes will mean that there will be no additional customs duties, if your seller registers in the new VAT system and uses the regime for Import One-Stop-Shop (IOSS). You will be confident of the final price, which you pay online, without unexpected delivery taxes, whether it comes from or outside the EU. If the supplier does not register in IOSS, you will have to pay VAT and a customs clearance price at the prices of Bulgarian Post.
More information at: https://ec.europa.eu/vat-ecommerce