Structural Alignment with EU E-Commerce and OSS Framework
- consolidate Sweden’s alignment with EU e-commerce VAT architecture;
- tighten platform and OSS compliance parameters;
- formalise reporting triggers critical for automation and digital audit trails.
The Swedish government is planning changes to the One Stop Shop OSS and e-commerce VAT compliance rules to come into effect on 1 January 2027. This includes changes for the Single VAT Registration pillar of VAT in the Digital Age reforms. The proposals materially affect cross-border trade, platform liability, and the operation of the EU special schemes (OSS/IOSS).
The reforms now go out to public consultation.
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Electronic Interfaces and Deemed Supplier Rules
The deemed supplier provision is clarified so that platforms facilitating intra-EU supplies of goods are also caught where the customer is:
- a taxable person; or
- a non-taxable legal person
whose intra-EU acquisitions are not subject to VAT.
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Distance Sales Threshold – Establishment Condition
The government clarifies that goods must be dispatched from the Member State where the supplier is established (or resident, in the absence of an establishment) for the distance-sales threshold rules to apply.
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Union Scheme (OSS) – Interaction with Domestic Threshold Option
A taxable person registered under the Union scheme will be deemed to have exercised the option to apply standard place-of-supply rules rather than the small-supplier threshold exception.
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Taxable Event and Reporting Triggers under Special Schemes
New explicit provisions define:
- when the taxable event occurs under the Union and third-country schemes;
- when reporting obligations arise under the import scheme (IOSS); and
- when reporting obligations arise where a platform is deemed to acquire and supply goods.
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Expansion of the Third-Country Scheme
The third-country OSS regime will be extended to services supplied to recipients not established, resident, or normally residing within the EU.
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Input VAT Deduction Clarification
Sweden confirms that deduction prohibitions apply only to input VAT linked to activities reported under a special scheme, preventing over-restriction of recovery rights.
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Energy Supplies under the Union Scheme
Supplies of gas, electricity, heat, and cooling through networks may, subject to conditions, qualify as intra-Community distance sales under the Union scheme.
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Input VAT Refunds – Dual Regime Clarified
The bill confirms separate refund mechanisms for EU-established and non-EU-established taxable persons operating under the Union scheme.
