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rules. The VAT exemption on goods valued under €22 with the EU include affordable customs clearance, an
was abolished, online marketplaces that are deemed integrated returns solution and VAT management via the
suppliers are now liable for VAT, and all UK webshops Import One-Stop-Shop. The DDU (Delivery Duty Unpaid)
and online marketplaces that ship to the EU now need problem, where customers would have to pay VAT and duty
to partner with a VAT intermediary and register for the upon delivery, has been averted thanks to a clever calculator
Import One-Stop-Shop (IOSS). that allows customers to calculate and pay the Duty and
VAT they’re due at checkout. In case the shipment can’t
A loss of confidence – and revenue be delivered, Spring GDS will claim the VAT and Duty
As a result of the changing requirements and regulations, amounts back on the seller’s behalf.
many UK e-commerce businesses had lost their confidence
in shipping to the European Union. The newly added Spring GDS’s commitment to helping businesses trade
customs checks required a lot more data and UK sellers cross-border has been evident in its promotions this
feared that the new VAT rules would lead to a poor year, too. When, in mid-June, the European Commission
customer experience. With all goods – announced that it would become mandatory for UK
including those under €22 – suddenly businesses to register with a VAT intermediary if they
being liable for VAT, customers in wanted to continue selling to the European Union, Spring
the EU could be put off by the GDS ran a special offer to partner with an expert VAT
unpleasant surprise of needing to intermediary in The Netherlands.
pay Duty and VAT upon delivery.
To improve their services even further, Spring GDS
“Some UK-based businesses also entered into several strategic partnerships this year,
stopped shipping to smaller EU amongst others with Hurricane and AEB. Thanks to the
destinations entirely for a while, specialist software that these partners provide, Spring GDS
uncertain of how to handle the new can significantly speed up the process of compiling and
VAT and customs rules. From the 27 submitting the necessary customs declarations on behalf of
member states that they shipped to before, only a few their cross-border e-commerce clients.
remained in some cases,” said Craig Lee, Head of Sales and
Marketing at Spring GDS UK. Easy e-commerce shipping: achieved
“Cross-border shipping was already our forte thanks to
This sudden drop in shipping destinations caused UK the reliable network of postal and commercial carriers that
businesses to lose out on a lot of revenue. “But luckily, we have access to, but with these new innovative service
our all-in-one solution for shipping to the EU has taken developments, we’re really able to offer a one-stop-shop
the hard work off these businesses’ shoulders. They can solution to UK businesses who want to outsource their
now outsource the entire delivery journey, including entire delivery journey with confidence”, said Ms Swindin.
customs clearance, VAT management, delivery and returns
management to us with one single integration,” Today, Spring GDS’s solution helps e-commerce businesses
said Mr Lee. throughout the UK ship to Europe with minimal effort.
Rui M., the owner of 3W Stores and a customer of Spring
The all-in-one solution for GDS, said: “Using Spring Clear to send all our DDP (IOSS)
trading with the EU shipments to the European Union was the right choice – all
Spring GDS had anticipated the of them were delivered quickly and smoothly. Thank you,
upcoming changes well before Spring, for all your help setting things up prior to sending –
they started to show their impact. your support was just what we needed!” ••
Abbi Swindin, Innovation and
Development Manager at Spring
GDS, said: “Over the past year, we’ve
been busy expanding and developing
our services to meet the new needs of UK e-commerce
businesses that trade with the EU. Thanks to our all-in-one
shipping solution, all 27 EU member states are now easily
accessible again. Customers are able to unlock the European
market with the same ease as before Brexit and the EU VAT
changes.”

The services that Spring GDS has rolled out to help UK
e-commerce businesses overcome the barriers in trading

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