Home > News > VAT Regulation Changes - Updated

[Updated June 28, 2021]

IMPORTANT: VAT Regulation Changes Coming Soon

To minimize issues regarding shipments to the EU and other destination countries, ConnectShip has been aggressively working to make the necessary changes that will allow shippers to provide the tax number (IOSS, HMRC, or VOEC) depending on the destination and the value of goods. It is our understanding that the input of this IOSS tax number is highly recommended but not required and that all shipments will continue to move as they are today.

A new Low-Value Tax ID (LOW_VALUE_TAX_ID) TransAPI field has been added for shippers to indicate the number when they determine that the value of the goods is below the destination countries' threshold. In general, if the shipper provides this number, it will be included in the required data uploaded to the carrier. Please see individual component software update notes for details.

The following software updates will be released as soon as possible:
  • 6.5 Core 21-04 (A prerequisite for all of the updates below)
  • 6.5 DHL eCommerce 21-05
  • 6.5 DHL Express (US) 21-02
  • 6.5 DHL Express XMLPI 21-04
  • 6.5 FedEx FSMS 21-01
  • 6.5 LTL 21-02
  • 6.5 Miscellaneous 21-01
  • 6.5 UPS 21-06
The following software updates will soon follow the initial batch above:
  • 6.5 DHL Express (Europe) 21-05
  • 6.5 Endicia 21-02
  • 6.5 Pitney Bowes Shipping API 21-03
  • 6.5 TNT Express 21-03
  • 6.5 UPS Mail Innovations 21-02
  • 6.5 USPS 21-03
We are continuing to gather more details for the following components:
  • Canada Post
  • DPD
  • EasyPost
  • GLS
  • Logistyx 365
  • PostNL
ConnectShip will continue to provided updates via this article so please check back for the latest developing news regarding these software update releases.


June 28, 2021


[Updated June 16, 2021]

IMPORTANT: VAT Regulation Changes Coming Soon

ConnectShip is continuing to gather requirements from each carrier with regard to the new VAT tax number (IOSS, HMRC, or VOEC) changes. Our current plan is to add a new TransAPI field for shippers to indicate the 'Low Value Tax ID' when they determine that the value of the goods is below the destination countries' threshold. It is important to note that the determination must be made by the shipper. This 'Low Value Tax ID' will be included in the required data uploaded to the carrier.

This is a work in progress and there may be additional fields necessary as we work on individual carrier implementations. More to come as we continue to learn what is required at the carrier level.

The following core and carrier updates will need to be applied in order for this new Tax ID to be included in the data for carriers to consume:
  • Core Update
  • DHL eCommerce
  • DHL Express (Europe)
  • DHL Express (US)
  • DHL Express (XML PI)
  • DPD
  • FedEx FSMS
  • Global*
  • LTL*
  • Miscellaneous*
  • Pitney Bowes
  • TNT Express
  • UPS
  • USPS
*New field will be saved to allow use on documents or end of day upload files

We are continuing to gather more details for the following components:
  • Canada Post
  • EasyPost
  • Endicia
  • GLS
  • Logistyx 365
  • PostNL
  • UPS Mail Innovations
Please continue checking this article for additional information regarding ConnectShip software update release dates for this new Tax ID recommendation.


June 16, 2021


[Original Post]

IMPORTANT: VAT Regulation Changes Coming Soon

Several changes are being made regarding the VAT rules that will impact shipments into certain countries where the value is less than or equal to a certain threshold. While these regulation changes will primarily impact business-to-consumer (B2C) shipments, they may also impact business-to-business (B2B) shipments.
  • Effective July 1, 2021, carriers are highly recommending that shippers provide the IOSS (Import One-Stop Shop) number for B2C shipments destined to the EU countries (including Northern Ireland) with a value less than or equal to 150.00 EUR.
  • Effective (TBD), carriers are highly recommending that shippers provide the VOEC (VAT On E-Commerce) number for shipments destined to Norway with a value less than or equal to 3000.00 NOK.
  • Effective (TBD), carriers are highly recommending that shippers provide the HMRC (HM Revenue and Customs) number for shipments destined to the United Kingdom (excluding Northern Ireland) with a value less than or equal to 135.00 GBP.
ConnectShip is working with all carriers to determine what changes are necessary for electronic file uploads and printed commercial invoices.

ConnectShip is assessing what fields will need to be added to allow the shipper to provide the new VAT Number (IOSS, HMRC, or VOEC) and the type of destination (B2B or B2C). The shipper may be required to determine when the shipment meets the requirements and which fields might apply to their specific shipments.

Please continue to check here for updates regarding these changes.


May 13, 2021