A Guide for Foreign Investors : Corporate Law in Egypt

Instructions: Find your selling model below and click the link to jump directly to your specific requirements.
⚠️ Important: Scenarios are Not Exclusive

Many businesses fall into multiple categories. For example, if you sell on your own Shopify store (IOSS) but also use Amazon FBA in Germany (Local VAT), you will need both registrations. Always review each section that applies to your sales channels.

Physical Goods: Shipped from Outside the EU

• I sell items valued at €150 or less

• I sell items valued at over €150

Physical Goods: Shipped from an EU Warehouse

• I sell via my own website (e.g., Shopify)

• I sell via a Marketplace (e.g., Amazon FBA, eBay)

Digital Goods & Services

• I sell via my own website

• I sell via a Marketplace (e.g., App Store, Steam)

Detailed Scenarios

Physical Goods: Shipped from Outside the EU

Scenario: Orders ≤ €150 (Low Value)

• If selling via Webshop: You need your own IOSS (Import One-Stop Shop) number. IOSS isn’t mandatory, but here’s why it’s “mandatory” for your EU customers and your store. As a non-EU seller, you are required to appoint an IOSS Intermediary (EAS) to handle your monthly filings.

• If selling via Marketplace: You do not need an IOSS registration. You must use the Marketplace’s IOSS number for your shipping documents. The marketplace is responsible for collecting the VAT at checkout.

Scenario: Orders > €150 (High Value)

• The Rule: IOSS cannot be used for orders over €150. However, you generally do not need a local VAT registration for these sales.

• Shipping Methods:

  • DDP (Delivered Duty Paid): You pay the VAT and Customs Duties via your courier and charge the customer at checkout. (Highly recommended for 2026).

  • DDU (Delivered Duty Unpaid): The customer pays the VAT/Duties to the customs before delivery.

Physical Goods: Shipped from an EU Warehouse

Scenario: Own Webshop (e.g., Shopify)

• Local VAT Registration: You must register for a local VAT number in the specific EU country where your warehouse is located.

• Requirement: Union OSS: To sell to customers in other EU countries from that warehouse, you need Union OSS registration. EAS can handle the registration and filing for Union OSS.

Scenario: Marketplace (e.g., Amazon FBA)

• The Rule: The marketplace is the “Deemed Supplier.” They collect and remit the VAT on the actual sale to the consumer.

• Requirement: Even though the marketplace handles the sales tax, you still need a local VAT registration in every country where you store stock (e.g., Germany, Poland, Czech Republic).

Digital Goods & Services

Scenario: Digital Sales via Own Webshop

• The Rule: You must always charge VAT on digital sales based on the location of your customer. No registration threshold!

• Requirement: Non-Union OSS scheme. EAS can handle the registration and filing.

Scenario: Digital Sales via Marketplace

• The Rule: Most major digital marketplaces (Apple, Google, Steam) act as the “Deemed Supplier.”

• Requirement: No registration is required. The marketplace should handle the VAT compliance.