Introduction.
Cross-border e-commerce (E-commerce) has been expanding worldwide with Amazon, eBay, Rakuten, Shopify, WooCommerce, and Corona Vortex, and is now the focus of attention by all companies. Cross-border e-commerce has been introduced with the positive aspects of being able to start selling within minutes of creating a site, and new sales opportunities from markets around the world. On the other hand, local taxes and various other costs are not shared much: local taxes such as VAT are levied and collected by the seller on the local buyer, but even in the case of cross-border e-commerce, there are cases of taxation, collection, and reporting.
Not all tax accountants, lawyers, and other domestic professionals have knowledge of overseas tax and legal affairs.
IN THIS COLUMN, OPTI CORPORATION, WHICH HAS EXTENSIVE EXPERIENCE IN THE TAX ASPECTS OF CROSS-BORDER EC, PROVIDES A "CROSS-BORDER EC TAX NAVIGATOR" IN A Q&A FORMAT. WE HOPE THAT THIS CROSS-BORDER EC TAX NAVIGATOR WILL BE OF HELP TO VARIOUS COMPANIES CONSIDERING CROSS-BORDER EC.
Q] IS IT DIFFICULT TO REGISTER FOR VAT IN-HOUSE?
A] IN THE EU, IT IS POSSIBLE IN SOME COUNTRIES TO REGISTER FOR VAT IN-HOUSE.
However, the required documents vary from country to country, and some of these documents may also be exempted as special exceptions in some cases. In addition, some countries, such as France and Belgium, require the use of a local fiscal representative.
YOU MUST ALSO DETERMINE WHETHER YOU SHOULD REGISTER FOR VAT IN THE COUNTRY IN THE FIRST PLACE. PERHAPS YOUR TRANSACTION IS A CASE WHERE VAT REGISTRATION ITSELF IS NOT REQUIRED.
MORE IMPORTANT THAN VAT REGISTRATION IS THE NEED TO FILE REGULAR VAT RETURNS; FAILURE TO FILE A VAT RETURN MAY RESULT IN A PENALTY FOR NO DECLARATION OR NO TAX PAYMENT.
FOR THIS REASON, WE ASK THAT YOU ALWAYS FILE A VAT DECLARATION WITH US ONCE YOU HAVE REGISTERED FOR VAT.
Disclaimer This column contains general information only and is intended to be used at the reader's own risk. While every effort is made to improve the accuracy of the information, it may contain inaccuracies. Readers should consult a suitably qualified professional before making any decision or taking any action and assume the entire risk and responsibility for any loss arising from the use of this column. 
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