Shipping & E-commerce · European Union · VAT & Customs

VAT on Non-EU Online Purchases: How IOSS Works and What to Do About Duplicate Import Charges

You paid VAT at checkout. Then the carrier asks for more money. That does not automatically mean VAT was charged twice: in 2026, customs duty and handling charges have changed, and the paperwork matters.

IOSS is designed to collect import VAT at checkout

The Import One-Stop Shop (IOSS) applies to certain distance sales of imported goods in consignments not exceeding €150. When a sale is correctly handled under IOSS, the VAT is collected from the consumer at the time of payment so that the consumer should not normally have to pay import VAT again on delivery.

A second payment request is not necessarily “double VAT”

If the consumer is asked to pay again on delivery, first identify what the second amount actually is. It may be:

These are legally different charges.

2026 brought a major customs change

From 1 July 2026, the EU abolished the previous €150 customs-duty exemption for low-value imported consignments and introduced a temporary €3 customs duty per item for certain distance sales in consignments not exceeding €150. This can coexist with VAT and must not be described as a second VAT charge.

The Commission also says a Union handling fee is expected from November 2026 at the earliest. That is a separate customs-service charge, not VAT.

What evidence proves VAT was paid?

  1. Order confirmation showing VAT or tax charged.
  2. Commercial invoice with the seller/import information.
  3. Carrier or postal import-payment notice.
  4. Customs declaration or IOSS-related import data if available.
  5. Payment receipt from the original transaction.

An IOSS number may be transmitted electronically in the customs declaration and may not appear as a normal customer-facing VAT number on every invoice, so absence of a visible IOSS number alone does not prove the scheme was not used.

What if you really were charged VAT twice?

Ask the seller or marketplace to explain the import VAT treatment and request correction. If a carrier collected VAT at import despite a correctly handled IOSS transaction, provide the order and tax evidence and follow the carrier's refund process where available.

Customs refunds are handled through customs and carrier procedures, which can differ by Member State. Keep the import declaration and payment receipt.

What this means practically

Sources

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