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The European Commission welcomes the EU member states' decision to remove the 150 euro threshold for the Import One-Stop Shop (IOSS) for VAT purposes. This system allows online sellers to collect and declare VAT at the point of sale through a single registration in the EU. Sellers can now declare and pay VAT for all goods sold online from outside the EU, simplifying the VAT system and aligning it with new customs regulations. This decision complements legislative changes to eliminate customs duty exemptions for low-value parcels and follows the 2021 reform on VAT for e-commerce. The definitions are now aligned with the new Union Customs Code and VAT legislation.