How to Use OSS VAT From Bulgaria for EU eCommerce

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How to Use OSS VAT From Bulgaria for EU eCommerce – 2025 Guide

If you sell goods or certain services online to customers in other EU countries, the One-Stop Shop (OSS) VAT scheme can help you manage VAT in a much simpler way. This guide explains how Bulgarian businesses can register, report, and stay compliant with OSS in 2025.

What is OSS and Why It Matters?

OSS (One-Stop Shop) is an EU-wide VAT reporting system. Instead of registering for VAT in every EU country where you sell, you can file a single quarterly return through the Bulgarian National Revenue Agency (NRA). This means fewer registrations, less paperwork, and full compliance with EU VAT rules.

Who Can Use OSS From Bulgaria?

You can apply OSS if your business meets these conditions:

• Your company is established in Bulgaria and VAT registered here.
• You sell goods to private customers (B2C) in other EU countries, with shipment from Bulgaria or another EU state.
• You provide certain digital services such as e-books, software, or streaming to EU customers.

How OSS Works in Practice?

The process is straightforward:

1. Register for OSS through the NRA online portal (e-services).
2. Track your sales by customer country. You must apply the VAT rate of the buyer’s country, not Bulgaria’s.
3. Submit one OSS VAT return every quarter in Bulgaria.
4. Pay the full VAT amount to the Bulgarian NRA, which then distributes it to the other EU states.

Example: If you sell from Bulgaria to customers in Germany, France, and Italy, you declare all these sales in your Bulgarian OSS return. There is no need to register separately for VAT in each of these countries.

Important Points to Remember

• Threshold: Since July 2021, the EU uses a single €10,000 annual threshold for cross-border B2C sales. If your turnover exceeds this, you must apply OSS rules.
• Record-keeping: Businesses must keep detailed records of each sale for 10 years. Tax authorities in any EU country can request them.
• Scope: OSS only applies to B2C sales within the EU. Imports from outside the EU require a different scheme (IOSS).

OSS VAT Rates by Country – Example

When using OSS, you must charge the VAT rate of the customer’s country. Here is a simple example table:

Using OSS from Bulgaria can save your business significant time and administrative effort while keeping you compliant in all EU markets with just one return. If you need help registering for OSS or managing your VAT obligations, contact us at ASB Accounting Services Bulgaria.