As of July 1, 2021, the EU and UK have begun charging VAT tax on packages entering their countries. To date, there had been an exemption for low-value items resulting in little to no VAT tax for our customers. Given recent policy changes, all products included in international packages designated for the EU & UK are now subject to VAT tax. To comply with these regulations we are now required to pass through an IOSS number with every package and pay the tax to the respective countries on your behalf.
This is a significant undertaking and we are working diligently to navigate all the technical and logistical obstacles. Please note that some countries have missed this deadline further delaying and complicating our roadmap.
We will have a detailed update in the upcoming weeks. Let us know if you have any questions in the meantime.