One-Stop Shop (VAT OSS)

Also called OSS, non-Union OSS, Union OSS, MOSS

The EU scheme that lets a seller of digital services declare and pay VAT for every EU country through one quarterly return in a single member state, in place of registering in each.

Games are “electronically supplied services” under EU VAT law, taxed at the rate of the country where the player lives (VAT Directive, Article 58 and Annex II). Without OSS, a studio selling across the EU would need a VAT registration in each of the 27 member states.

There are two schemes. The Union scheme is for businesses established in the EU. The non-Union scheme is for everyone else, including US, UK and Japanese studios (European Commission). Both file quarterly, by the end of the month after the quarter, and records must be kept for 10 years. OSS replaced the mini One-Stop Shop (MOSS) on 1 July 2021, and some provider documents still use the old name.

OSS simplifies filing. It does not reduce the tax. A non-EU studio has no threshold and owes VAT from its first EU sale, at standard rates from 17% in Luxembourg to 27% in Hungary; the €10,000 threshold only helps sellers established in one member state. Each sale also needs two non-contradictory pieces of location evidence, such as billing address and IP address. A merchant of record files under its own registration, so the studio doesn’t. See tax.