Threshold tracking

How the threshold works

Under the EU VAT One-Stop Shop (OSS) rules, businesses making cross-border B2C sales to EU consumers can use their home country VAT rules until their total cross-border sales exceed EUR 10,000 in a calendar year. Once this threshold is crossed, the business must either register for VAT in each destination country or register for the OSS scheme.

The plugin tracks your progress toward this threshold automatically based on completed WooCommerce orders.

What counts toward the threshold

The threshold calculation includes:

• EU B2C orders only — Sales to consumers in EU member states other than your home country.
• Completed and processing orders — Orders with a status of Processing or Completed.
• Net sale amounts — The product total excluding shipping and taxes.

The following are excluded from the threshold:

• Domestic orders — Sales to customers in your home country.
• EU B2B orders — Sales to VAT-registered businesses in other EU member states.
• Non-EU orders — Sales to countries outside the European Union.
• Refunded orders — Fully refunded orders are subtracted from the running total.

Real-time tracking

Every time an order is placed, updated, or refunded, the plugin recalculates your threshold position. There is no delay or scheduled recalculation — the numbers update immediately.

The current threshold total is visible in several places:

• The Dashboard widget on your WordPress admin home screen.
• The WooCommerce > EU VAT OSS > Overview page.
• Individual order details, which show whether each order contributed to the threshold.

Threshold status

The plugin reports your threshold in one of three states:

• Below threshold — Your cross-border sales are under EUR 10,000. Home country VAT rules apply.
• Approaching threshold — Your sales have reached the warning percentage you configured in Settings. The plugin sends an email notification to alert you.
• Threshold crossed — Your cross-border sales have exceeded EUR 10,000. You need to register for OSS or register for VAT in each destination country.

Calendar year reset

The threshold resets at the start of each calendar year. On January 1st, the running total returns to zero. Historical data from previous years remains accessible in the Reports section for your records and tax filing purposes.

Tips

• Check your threshold weekly — Even if notifications are enabled, a quick glance at the dashboard keeps you informed.
• Account for pending orders — Orders in Processing status count toward the threshold, so factor in orders that have not yet shipped.
• Plan ahead — If you are approaching the threshold mid-year, use predictive forecasting (Pro) to estimate when you will cross it.