DDP or DAP to Germany? VAT, Customs Duty, and Importer in 2026
DDP and DAP share trade obligations but do not replace customs or VAT law. First, determine the status of the goods and the actual importer—only then assess customs, EUSt, and German registration.
The Incoterm indicates the obligations of the parties. Customs documents show the tax consequences.
Check if the goods have EU status.
Determine the place of admission to trading.
Indicate the applicant and the debtor EUSt.
Separate import from subsequent sale.
First, check where the goods are coming from
The same provision "DDP Berlin" leads to different consequences when the goods are shipped from a warehouse in the EU and when they are shipped to Germany directly from a third country.
The goods have EU status
- no import clearance at the internal EU border,
- no customs duty and German EUSt for the journey itself,
- VAT analysis depends on the customer and the delivery route.
Goods arrive from outside the EU
- the importer and the type of representation must be determined,
- customs duty and Einfuhrumsatzsteuer are created,
- After import, a German domestic delivery may occur.
| Route and status | What to analyze | What Incoterm Doesn't Change |
|---|---|---|
| EU goods: EU country → Germany | WDT/WNT or WSTO and OSS - depending on the recipient and model | There is no classic import, customs duty or EUSt |
| Non-EU goods: third country → Germany | Importer, declaration, customs, EUSt and subsequent sale | The name DDP or DAP itself does not determine the debtor of EUSt |
| Transit completed in Germany | Place of release of goods for circulation | The first port in the EU does not have to be the point of import |
The customs union excludes customs duties between member states. DDP or DAP do not change the customs status of goods.
DAP: Buyer is usually responsible for import
Delivered at Place
The seller arranges transport to the agreed location. The goods are ready for unloading, but import clearance generally remains the responsibility of the buyer.
Typical tax effect
If the buyer is an importer and debtor of the EUSt, § 3 paragraph 8 UStG does not transfer the seller's delivery to Germany for this reason.
Note: DAP does not guarantee non-registration. This obligation may arise from warehousing, assembly, e-commerce, or other transactions.
DDP: Seller takes over clearance and receivables
Delivered Duty Paid
The seller assumes the widest range of obligations: transport, export, import and customs duties.
The contract must correspond to the severance payment
Reimbursing a customer for customs duties or EUSt costs does not automatically make the seller the importer. The declaration, the agency, and the person owing the payment must be verified.
If the seller is indebted to the EUSt, his delivery may become a domestic sale in Germany.
Who is responsible for each stage?
| Element | DAP | DDP |
|---|---|---|
| Transport to the delivery location | Seller | Seller |
| Unloading | Basically, the buyer | Basically, the buyer |
| Import clearance | Basically, the buyer | Basically a salesperson |
| Customs and EUSt | Basically, the buyer | Basically a salesperson |
| Risk § 3 section 8 on the seller's side | Usually lower | Important if the seller or his representative is a debtor of EUSt |
| Right to deduct EUSt | Usually, the buyer - after meeting the conditions | Possible at the seller - after meeting the conditions |
The table shows the Incoterms® 2020 standard. The final result is based on actual clearance and documents, not the trade label itself.
§ 3 paragraph 8 UStG: when the delivery moves to Germany
If the goods are transported from a third country to Germany and the supplier or an entity acting on his behalf is a debtor to the EUSt, the place of delivery is deemed to be in Germany.
“Regardless of the delivery terms” the person who owes the Einfuhrumsatzsteuer according to customs law decides.
BMF, Umsatzsteuer-Anwendungserlass, section 3.13The customer imports
The seller's place of delivery generally remains in the country of departure. The customer may deduct the EUSt if the import serves their business.
The seller imports
§ 3 paragraph 8 may transfer the delivery to Germany. After import, the seller may make a German domestic delivery.
Basis: § 3 paragraph 8 UStG and the current UStAE, section 3.13.
One commercial delivery can mean two settlements
This creates an input tax (Einfuhrumsatzsteuer). It can constitute input tax if the importer meets the conditions for deduction.
If § 3 paragraph 8 applies, the seller shall account for the German VAT due on domestic sales.
Import tax results from customs clearance. German VAT on the invoice applies to subsequent delivery. These are two separate events and often two different tax bases.
Same product, different importer - different result
Let's assume that the goods go directly from a manufacturer outside the EU to a customer in Germany.
The customer checks in
- the customer is an importer and pays EUSt,
- the customer can deduct EUSt after meeting the conditions,
- § 3 paragraph 8 does not normally locate this delivery of the seller in Germany.
The seller carries out the clearance
- the seller is a debtor to EUSt,
- delivery can become domestic in Germany,
- an obligation to register, invoice with DE VAT and declaration may arise.
When goods already have EU status and are shipped from another EU country to Germany, neither of these models constitutes import. Intra-EU VAT is then analyzed.
Registration, invoice and reverse charge
Especially when the seller imports and then sells domestically. See VAT registration in Germany.
For regular domestic sales, the seller generally reports German VAT. The EUSt remains in the import documentation.
The seller's foreign status or DDP alone do not trigger Section 13b of the UStG. The specific transaction must be examined.
Local VAT, import VAT, and EUSt deductions must be reported in the appropriate periods. See VAT returns in Germany.
Who can deduct import VAT?
Simply financing the tax is not enough. The import must be made for the taxpayer's business, and its role must be clearly documented.
The taxpayer plays the appropriate role in import.
The goods are used for his taxable activities.
Has a valid customs document or electronic confirmation.
Import data is consistent with the invoice and VAT settlement.
Basis: § 15 section 1 point 2 UStG. Detailed EUSt calculation can be found in a separate guide on import VAT.
The representative office must correspond to the sales model
Direct representation
The agent acts on behalf of and for the benefit of the represented party. The applicant remains the represented party, so their ability to act in this capacity must be verified prior to shipment.
Indirect representation
An agent acts in his or her own name but on behalf of another person. This may involve joint liability for customs duties and requires particularly precise determination of the consequences of the EUSt.
The Union Customs Code generally requires the declarant to be established in the EU customs territory, with certain exceptions. In practice, an intermediate representative who agrees to assume responsibility may be necessary.
DDP Improves Customer Experience, But Increases Responsibilities
Consumers may be asked to pay customs, EUSt, and carrier fees. This often results in refusal of collection.
However, better UX requires a prepared importer, calculation of dues and proper VAT settlement.
IOSS is a VAT procedure for eligible import shipments up to €150. It does not replace the determination of the party responsible for clearance.
The marketplace may be considered a supplier for selected transactions, but this does not automatically mean that it takes over all imports and all seller responsibilities.
The most common errors with DDP and DAP
Import where there is none
EU goods going to Germany do not become imports just because the contract includes DDP.
Forwarder = importer
An agent can only submit a report. Their role depends on the type of agency.
Refund = deduction
Financing EUSt does not automatically entitle you to a deduction.
DDP without agency approval
The problem only emerges at the border, when no one wants to play the agreed role.
Invoice without DE VAT
After import by the seller, a German domestic delivery may arise.
DDP = IOSS
The trade rule and the VAT procedure solve different problems.
DDP or DAP Selection Checklist
- Determine the shipping country and customs status of the goods.
- Specify the import location and final recipient.
- Agree on who will be the declarant and the debtor of EUSt.
- Confirm the type of representation with the customs agency.
- Check your eligibility for the EUSt deduction and the required documents.
- Assess § 3 paragraph 8 and the risk of domestic sales in Germany.
- Determine invoice, registration and reporting methods.
- Include customs, EUSt, handling and financing in DDP price.
How to get the right settlement
Check the clearance model before the first shipment
We will analyze the goods' route, the roles in the customs declaration, § 3 paragraph 8 UStG and the risk of VAT registration - before you offer the customer a price that includes all dues.
DDP or DAP? Choose a model that also works with documents
DAP typically reduces the seller's import obligations but transfers customs clearance to the customer.
DDP gives the customer a cash on delivery price but requires legal import capability.
The EUSt debtor, the documents and the actual flow of goods are more important than the abbreviation on the invoice.
The outcome depends on the route, customer type, check-in structure, and eligibility for the EUSt deduction. It's worth determining these elements before pricing and signing the contract.
Frequently asked questions about DDP and DAP to Germany
What is the difference between DDP and DAP?
Under both rules, the seller arranges transport to the designated location. Under DAP, import clearance and duties are generally the responsibility of the buyer. Under DDP, these duties are generally assumed by the seller.
Who pays import VAT on DDP?
According to the standard DDP division, the seller bears the cost and organization of import. However, for VAT purposes, the actual declaration, representation, and debtor must be verified.
Who pays import VAT with DAP?
In a typical DAP, the buyer is the importer and the EUSt debtor. They can deduct the tax if the goods were imported for their company and have the required documentation.
Does DDP result in VAT registration in Germany?
This may be the case when the seller is a debtor to the EUSt, and § 3 paragraph 8 of the UStG transfers his delivery to Germany. The name DDP alone is not sufficient to support such a conclusion.
Does DDP for goods shipped from the EU trigger customs duties?
No, if the goods have EU status and are moving to Germany from another EU country. In such cases, intra-EU VAT is analyzed, not classic imports.
Can the seller deduct EUSt on DDP?
Yes, if the import is for their own company, the material conditions are met, and the seller has a valid customs document. DDP does not automatically grant this right.
Does DAP always allow you to avoid German VAT registration?
No. DAP may leave import to the buyer, but registration may result from warehousing, assembly, e-commerce, or other seller transactions.
Is DDP the same as IOSS?
No. DDP is a trade rule. IOSS is a VAT settlement procedure for qualifying import distance sales of shipments up to €150.
