Case Study: How a German E-Commerce Group Secured Multi-Country VAT Compliance After OSS Suspension

hellotax supports sellers when EU VAT compliance gets complex — covering multi-country VAT compliance, backdating, and automation from a single dashboard.

The Client: A Growing E-Commerce Group With EU Ambitions

A mid-sized German e-commerce group, managing several online brands through Amazon and Shopify, wanted to expand sales across Europe. The company already had a solid customer base but faced a major challenge:

They needed VAT compliance in five countries (Austria, Netherlands, Italy, Spain, France — with Belgium later added). At the same time, their access to the OSS scheme had been suspended in October 2023, making their compliance needs more urgent and complex.

The Challenge: OSS Suspension & Multi-Entity Expansion

The client faced multiple hurdles at once:

• ❌ OSS suspension — meaning VAT obligations had to be met separately in each country.
• 🌍 5+ EU countries per legal entity — far more than a simple “3-country package” could cover.
• 📑 Backdating requirements — registrations and filings had to be aligned retroactively to avoid penalties.
• 🕒 Tight deadlines — they wanted to continue scaling sales across Europe without VAT compliance disruptions.

For a business managing two different legal entities, this quickly became overwhelming. Without a centralized compliance solution, the risk of penalties, blocked sales, and mounting admin costs was high.

If your German operations ever lose access to the OSS scheme—or if you’ve been excluded—you’ll need a clear path to rejoin. Our guide on OSS scheme exclusion in Germany and rejoin steps walks you through the compliance requirements, timelines, and strategies to regain OSS status safely. Check it out here: How to Rejoin OSS After Exclusion in Germany

The Solution: A Multi-Country VAT Compliance Package from hellotax

To address these challenges, the client partnered with hellotax for a tailored compliance setup.

🔹 Step 1: Backdated VAT Registrations

• VAT registrations were completed in Austria, Netherlands, Italy, Spain, and France.
• Additional registration in Belgium was added later.
• Backdating ensured all filings matched past sales activity, avoiding penalties.

🔹 Step 2: Ongoing Filings & Returns

• Monthly and quarterly VAT returns were automated across all countries.
• Historical filings were caught up, ensuring full compliance.

🔹 Step 3: Centralized Dashboard

• The client used the hellotax platform to track VAT obligations across both legal entities.
• Automated sales data import from Amazon and Shopify streamlined reporting.

🔹 Step 4: Dedicated Account Management

• A senior VAT account manager supported the client with deadlines, country-specific rules, and direct contact with tax offices.
• Regular consultations kept compliance on track and transparent.

The Outcome: Full Coverage, No Disruption

With hellotax, the e-commerce group achieved:

✅ Successful VAT registration and backdating in all required countries.
✅ Automated VAT returns, reducing manual workload.
✅ Peace of mind despite OSS suspension — compliance was ensured at the country level.
✅ Scalability for two legal entities, with the option to add more markets.
✅ Centralized oversight across all VAT filings in one platform.

The client avoided penalties, protected their marketplace accounts, and continued scaling operations confidently across Europe.

Why This Matters

This case highlights how sellers can:

• Stay compliant even when OSS access is suspended.
• Manage VAT obligations for 5+ countries per entity with the right partner.
• Use automation to replace hours of manual reporting.
• Avoid costly mistakes with backdating and filings handled correctly from day one.

For growing sellers, a multi-country VAT package is often the only way to keep expansion risk-free.

For comprehensive details on how the OSS special scheme works across all EU member states—covering eligibility, reporting rules, and countries included—refer to the European Commission’s official guide on VAT Special Schemes: OSS. It’s a useful resource to understand the broader regulatory framework that underpins any multi-country compliance strategy. You can read it here: EU Commission – VAT Special Schemes (OSS)

Key Services Used

📌 Multi-Country VAT Registrations (AT, NL, IT, ES, FR, BE)
📌 Backdated VAT Filings
📌 Monthly & Quarterly VAT Returns
📌 Amazon & Shopify Data Integration
📌 Dedicated VAT Account Manager
📌 Centralized Compliance Dashboard

📣 Thinking About Expanding Beyond 3 Countries?
At hellotax, we specialize in supporting multi-country sellers — from backdated VAT registrations to automated filings across Europe. Whether you sell on Amazon, Shopify, or your own store, our platform and experts keep you compliant while you grow.

👉 Book a free consultation today and discover how hellotax can support your EU expansion.

 

When Does OSS Apply — and When Not?

The EU One Stop Shop (OSS) scheme allows sellers to report cross-border B2C distance sales of goods to EU consumers in a single return filed in their home country.

✅ OSS is valid if:

• You sell goods cross-border to EU consumers (B2C).

• You do not store goods outside your home country.

• You stay compliant with OSS filing and payment rules.

❌ OSS does not apply if:

• You store goods in multiple EU countries (e.g. Amazon Pan-EU FBA).

• You run a dropshipping model with stock in different EU warehouses.

• Your OSS access has been suspended or revoked due to compliance issues.

👉 In this client’s case, both OSS suspension and multi-country warehousing meant local VAT registrations in each country were mandatory.

If you’re using or planning a dropshipping model, it’s essential to understand how OSS rules apply differently to your setup. Our detailed article on Dropshipping and OSS explains key compliance considerations, pitfalls, and steps to align your dropshipping business with EU VAT regulations. Read it here: Dropshipping and OSS.

 

Curious to see how we’ve helped other sellers navigate EU VAT challenges? Check out our collection of hellotax case studies, where we showcase real-world scenarios—from Amazon FBA expansions and OSS transitions to multi-country VAT setups—and how we delivered results.