The rules for the localization of intra-Community sales of goods and services are modified.
Effective January 7, 2021, the regulation of the place of performance of intra-Community sales of goods is modified, and a common threshold limit is established both for these transactions and for the provision of services by electronic means.
1. For the purposes of determining the place of performance, a common quantitative limitis established forintra-Community distance sales of goods and/or electronic services of 10,000 euros for the total amount of the transactions carried out in the Community during the preceding calendar year.
2. In deliveries of goods:
a) Regarding intra-Community distance sales ofgoods. As a general rule, these transactions are taxed at destination, however, they will be taxed at origin when:
- the entrepreneur or professional is established only in one E.m,
- the threshold limit for intra-Community distance sales of electronic goods and/or services of 10,000 euros has not been exceeded and,
- the entrepreneur or professional has not opted to be taxed at destination.
b) Regarding distance sales of goods imported from third countries or territories, these are located in TIVA in the following cases:
- distance sales of goods imported from third countries or territories in a Member State other than that of the arrival of the consignment or transport to the customer, where the territory of application of the tax is the place of arrival of the consignment or transport;
- the special import regime has been chosen.
3. In the provision of services, the way of quantifying the common threshold for the taxation at source of electronic services is modified, which as from 1-7-2021 must include intra-Community sales of goods.
