VAT OSS and gift cards – how to settle SPV and MPV vouchers?
The gift card is not a separate OSS procedure.
First, determine whether the instrument is a VAT voucher, and then whether it is a single-purpose voucher (SPV) or a multi-purpose voucher (MPV). This classification determines the VAT point and allows you to assess whether the correct transaction will be submitted to the OSS.
Key question: what is already known at the time of issue?
From instrument to VAT moment
Don't start with the OSS or the customer country. First, go through the voucher definition and the two SPV tests. This order is dictated by the Voucher Directive 2016/1065.
- InstrumentCard, code, ticket, store credit, or other record of value.
- Is it a voucher?It must be accepted as consideration and identify goods, services, or suppliers.
- What's known?Check the place of taxation and possible VAT upon issuance.
- SPV or MPV?Both are known: SPV. Otherwise: MPV.
- The moment of VAT and OSSTransfer SPV or realization of MPV leads to the actual transaction.
The place of taxation and the VAT due are already known at the time of issue.
The voucher does not meet the full SPV test; VAT applies to redemption.
The name "card" does not determine the classification
A voucher obliges the supplier to accept the instrument as consideration or part thereof. A standard discount code only reduces the price, while a general prepaid card can be used as payment.
Store card
Indicates the goods or services and the entity that will accept them.
- Analysis
- SPV or MPV
- Risk
- VAT recognition too early
Code "-10%"
It reduces the price, but does not constitute an independent remuneration.
- Analysis
- Discount for sale
- Risk
- Confusion with voucher redemption
General Card
It can act as a payment instrument without specifying goods or suppliers.
- Analysis
- Payment function
- Risk
- Automatic recognition as MPV
Store credit
It may be a voucher, a payment or a technical record of an obligation upon return.
- Analysis
- Terms and Conditions and Related Returns
- Risk
- Double correction
Ticket for the service
If it is known from the beginning what service, where and with what VAT will be provided.
- Analysis
- Location and VAT
- Risk
- Skipping exceptions
Multi-brand card
Different providers, countries, or rates may prevent SPV testing.
- Analysis
- Full scope of acceptance
- Risk
- Establishing a single rate
SPV and MPV – two different VAT moments
In an SPV, the transfer is treated as a proper supply or service. In an MPV, the prior transfer does not yet tax the future supply; VAT occurs upon realization.
SPV
- Knowledge on issue
- Known place of taxation and VAT payable.
- VAT moment
- Transfer of a voucher acting as a delivery or service.
- Implementation
- No re-VAT on the same part of the remuneration.
- Failure to use
- VAT may have already arisen upon transfer.
- Distribution
- Any transfer in one's own name may correspond to a benefit.
- OSS
- Depends on the transaction attributed to the SPV transfer.
MPV
- Knowledge on issue
- At least one element of the SPV test remains unknown.
- VAT moment
- Fulfillment for a specific product or service.
- Implementation
- You determine the benefit, location, rate and basis.
- Failure to use
- No automatic VAT on unused denomination.
- Distribution
- Separate distribution or promotional service possible.
- OSS
- It results from a transaction made with a voucher.
"I sold a gift card to a customer in Germany, so I immediately report the WSTO in OSS." The sale of a gift card does not automatically constitute a supply of goods—you must first establish an SPV or MPV.
When does a gift card lead to OSS?
When you complete the MPV, you identify the actual transaction. Only the qualification result leads to VAT OSS, local VAT, B2B rules, or activities outside the EU VAT territory.
- MPV implementationThe customer selects a specific product or service.
- Place of taxationCheck the location of the goods, transportation, customer status or service policy.
- Rate and basisDetermine the appropriate VAT and remuneration assigned to the implementation.
- settlement method, local declaration, B2B or other appropriate path.
100 EUR card to be used in several countries
The customer can use the card for various goods or digital services. It is not yet possible to specify a single country or VAT at the time of issuance.
Many product categories, different rates and several countries of realization.
Book
France and the rate appropriate for a specific product.
Electronics
Germany, goods and possible STO or local sale.
Digital service
The place of taxation is determined according to the rules for B2C services.
When processing in Germany, you specify the specific goods, the point of departure for transport, VAT in Germany , and OSS or local settlement. Similarly, you analyze VAT in France and VAT in Spain.
Estimate the basis for partial voucher redemption
If the consideration paid for the MPV is known, the calculator allocates it proportionally to the portion of the denomination used and separates VAT at the selected rate. It does not determine whether the instrument is an MPV.
Result for realization
The result is a calculation aid only. The MPV is based on the consideration paid for the voucher, or if this is unknown, the monetary value indicated on the voucher or in the documentation, less VAT.
Distribution, marketplace and standalone services
In an SPV chain, each transfer in its own name may correspond to a specific supply or service. With an MPV, separate taxation of the distribution or promotional service is possible.
Creates voucher rules
It specifies suppliers, goods, countries, denomination and terms of execution.
Sells or promotes
It is necessary to determine whether he is acting on his own behalf and whether he is providing a separate service.
Provides service
In MPV, it recognizes the specific sale, rate, basis and proper settlement.
An unused balance has no VAT effect
An MPV without redemption does not automatically trigger VAT on the entire unused denomination. In an SPV, VAT may have already occurred upon transfer. The terms of validity, retained earnings, and the contract are all important.
Record the voucher type, price, denomination and scope of redemption.
Link the value used to a specific sale and remaining balance.
Check the structure of the voucher and the rules for retaining remuneration.
Do not tax the balance mechanically without an SPV or MPV analysis.
Return of original sale
First, settle the OSS VAT correction by country and period of the original transaction.
Issuance of store credit
Separately examine whether the new instrument is a voucher, a means of payment or a record of an obligation.
The system must link the voucher to a subsequent sale
Without data on issuance, transfer and realisation, it is difficult to reconstruct the VAT moment, basis, country of consumption and related correction.
What to write down before launching cards?
Check the regulations, scope of acceptance and data structure before the first broadcast.
- Terms and conditions and validity period
- Acceptance as remuneration
- Goods and services covered by the voucher
- Potential suppliers
- Your implementation
- Possible VAT rates
- SPV or MPV classification
- Price paid for the voucher
- Face value
- Issuer and distributor details
- The role of the marketplace
- Partial implementation
- Unused balance
- Associated store credit
- The State of Consumption
- Related Sales and Returns
Add fields to the system that allow you to recreate classification and settlement after execution.
voucher_typeissue_country_scopeallowed_productsconsideration_paidnominal_valueredeemed_valuelinked_sale
Do you sell gift cards in several countries?
We help separate the issuance, transfer, and redemption of vouchers, identify the relevant countries, and prepare data for the OSS VAT return. During processing, we also verify the appropriate rate for a specific product or service.
Select another topic
Select a guide on the left. A brief summary and direct link will appear on the right.
Basics
Registration and settlement
E-commerce
Advanced topics
Do not send a card to OSS without an SPV or MPV classification
Organize your issuance, transfer, and implementation data before preparing your next declaration.
Gift Cards, SPVs and MPVs FAQs
No. The VAT moment depends primarily on the SPV or MPV classification.
In the event of actual implementation of a specific good or service, when the place of taxation, rate and basis can be determined.
Not just because it has a code. A simple price-reduction coupon is not a voucher under SPV and MPV regulations.
No. Failure to use the MPV does not automatically result in VAT on the entire remaining denomination.
Not automatically. It can be a voucher, a means of payment, or a technical record of an obligation; it requires separate analysis after the initial sale has been adjusted.
Only if, despite this structure, the place of taxation and the VAT due are already known at the time of issuance. In practice, multiple countries and rates often lead to MPV.
In an MPV, each transaction must be linked to a specific transaction and the appropriate portion of the consideration. In an SPV, VAT may have already been incurred upon transfer.
Not automatically. First, determine the SPV or MPV and the relevant delivery or service. OSS is the method of settling the resulting transaction, not the instrument name itself.
