Medium Business VAT registration

Sophie is a seller established in Belgium. She is VAT registered in Belgium.

Our fashion seller Sophie sells in 2014 for €25,000 from Germany and €9,500 from France. Goods for Belgian customers are always sent from the fulfilment centre in France. In 2015 sales from France have increased to €65,000. To Belgian customers sales have increased to €40,000.

VAT impact

In 2014 she has to file monthly VAT returns in Germany and quarterly in France. In 2015, she should file monthly VAT return in France as the VAT due each quarter has increased.

As the Belgian sales have exceeded the distance selling threshold of €35,000, these sales are now subject to Belgian VAT instead of French VAT. The Belgian VAT should be reported in the Belgian VAT return and should be paid to the Belgian tax office.