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All non-EU goods need VAT, customs clearance from July

Published : 07 Mar 2021, 21:03

Updated : 08 Mar 2021, 01:15

  DF Report
File Photo: Finnish Customs.

All goods arriving from outside the European Union will require customs clearance from 1 July as the e-commerce VAT reform will enter into force throughout the EU.

This means all goods arriving from outside the EU will be subject to VAT and customs clearance, according to the Finnish Customs and the national postal operator Posti.

At the moment, small online store purchases with a maximum value of €22 can be received in Finland free of tax.

The reform is based on an EU directive which aims at harmonising the VAT system in the EU’s single market.

The directive will enter into force at the same time in all EU countries. The common reform pursues a more equal competitive situation for domestic companies and the companies of other EU countries.