Do you want to reduce the frustrating paperwork that comes with international shipping? Well, IOSS is here to make things a little easier for UK e-commerce businesses shipping to Europe — but how does it work?
Let’s explore what IOSS entails and how it can simplify international shipping.
What is an IOSS number?
The Import One-Stop-Shop (IOSS) number was introduced in July 2021 to streamline international shipping and simplify declaring and paying VAT.
Essentially, you can apply for a unique number that allows you to pay tax on all goods you sell to various EU countries under one monthly VAT return. This greatly reduces the amount of paperwork you have to fill out. You can use your IOSS number to deliver goods across the whole of the European Union — no need to fill out different forms and pay varying amounts for different countries.
By pre-paying all taxes before shipping to Europe, you can also speed up the customs clearance process. If you’re not IOSS-registered, then any goods you sell will be held at customs until VAT is paid. But with IOSS, customs will just check your number and then dispatch.
It’s worth noting that IOSS is only applicable to items that cost less than €150 and won’t cover Excise Goods (such as cigarettes and alcohol).
How to get an IOSS number
Depending on how you sell your goods, you have a couple of options for IOSS registration. If you sell through an IOSS-registered marketplace like Amazon, eBay, or Etsy, the platform will do the work for you.
Alternatively, you can opt for self-registration. To do this, you’ll need to register for IOSS via an EU intermediary. When you post your items, you’ll need to provide your IOSS number and then complete monthly tax returns.
How do IOSS numbers work for your customers?
As well as making international shipping easier for you, IOSS makes pricing clearer for your customers, too. They’ll just pay all VAT due on their goods when they make the purchase, avoiding additional customs fees when they receive their delivery.
What happens if I don’t use an IOSS number?
IOSS is optional – you don't have to use it. However, if you choose not to, then you’ll need to either pay any clearance costs yourself (Delivery Duty Paid or DDP), or your customers will need to pay VAT to receive their items (Delivery Duty Unpaid or DDU).
Often, unexpected DDU costs lead to a poor customer experience and fewer repeat sales.
Streamline your international shipping with Zenstores
Whether you choose to self-register for IOSS or sell via an online marketplace, Zenstores can help you handle all your shipping needs in one place.
From automatically importing your IOSS number to orders to providing accurate shipping labels, we’ll streamline your sales and speed up your deliveries. Get in touch for more information or try Zenstores for free today.
Frequently Asked Questions
Does IOSS registration affect the new EU €3 customs duty?
Yes. From 1 July 2026, a temporary €3 customs duty applies to parcels under €150 entering the EU. IOSS registration keeps the duty and VAT process running smoothly through fast customs clearance, while parcels from non-IOSS sellers face more scrutiny and separate handling charges at delivery.
Is the €3 EU customs duty part of IOSS?
No, they're separate. IOSS handles VAT collection and reporting, the €3 duty is a customs charge collected by the carrier. IOSS registration does, however, affect how smoothly parcels clear customs under the new duty.
What is the maximum order value for IOSS?
IOSS applies to goods valued at €150 or less. Orders above this threshold need a different customs and VAT process.
Do I have to register for IOSS to sell into the EU?
No, IOSS is optional. Without it, either you or your customer will need to cover VAT and clearance costs separately (DDP or DDU), which often leads to unexpected charges and a worse delivery experience for the customer.
How does Zenstores help with IOSS and EU shipping?
Zenstores automatically applies your IOSS number to orders and generates accurate shipping labels and customs data, so IOSS-registered shipments move through customs without manual paperwork for each parcel.
