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Nordlet for platforms and marketplaces

Record platform sellers, prepare the DAC7 report, work out cross-border VAT and book payouts and commission for a marketplace.

A platform or marketplace is a business that lets other sellers sell through its website or app. The platform takes payments from buyers, keeps a commission, and passes the rest on to the sellers.

This creates accounting work that an ordinary shop does not have. Part of the money you receive belongs to the sellers. The EU asks you to report your sellers once a year. And for some sales the VAT rules treat you as the seller.

Nordlet has features for each of these jobs. You can use them in the web app or through the accounting API.

What Nordlet does

  • Keeps a record of every seller on your platform: name, tax residence and tax number, VAT number, address, bank account, and what they did in each quarter of the year.
  • Checks which sellers must be reported under DAC7 and gives the reason for each seller who is left out.
  • Builds the yearly DAC7 report file.
  • Works out the VAT treatment of a sale, including the case where your platform is the "deemed supplier".
  • Calculates the figures of the OSS and IOSS VAT returns.
  • Imports Stripe payout reports and books each payout: the money to the bank, the provider fees, your commission and the amount owed to the seller.

DAC7 seller reporting

DAC7 is an EU rule that makes platforms report, once a year, the sellers who sold goods, rented out property or vehicles, or performed personal services through them. The report for a year is due by 31 January of the next year.

  • You record each seller and their activity per quarter under Platform sellers.
  • The preview lists every seller as reportable or not. For example, a seller of goods with fewer than 30 sales and no more than EUR 2000 in the year is left out.
  • Without reportable sellers, the file is a nil report.
  • In Lithuania and Austria, Nordlet sends the file to the tax administration. In 13 other countries, Nordlet builds the file and you upload it in the tax office's portal. In the remaining countries, you key the report in by hand. The DAC7 guide and the filing support table list each country.

VAT for marketplaces

VAT is the tax added to the price of a sale. Across EU borders, the rules decide which country's VAT applies and who must charge it.

  • Under the deemed-supplier rule, a platform that helps sell certain goods to consumers is treated as if it bought and resold them, so the platform charges the VAT. Nordlet's VAT check takes a flag that says you are the platform, and returns whether you are the deemed supplier.
  • OSS (One Stop Shop) is a scheme for reporting VAT on sales to consumers in other EU countries in one quarterly return. IOSS is the monthly version for imported goods up to EUR 150. Nordlet calculates both returns from your invoices, with one row per country and VAT rate.
  • The VAT check also covers reverse charge sales to businesses in other EU countries. In a reverse charge sale, the buyer pays the VAT instead of the seller.

The EU VAT guide lists every rule the VAT check applies.

Payouts, commission and seller balances

  • Import a Stripe payout reconciliation report under Bank, Settlements. Each payout becomes one settlement batch.
  • Each line is matched to an issued sale invoice through the order or invoice reference in the report.
  • Set the commission you keep per line, as a rate or an amount.
  • When you post the batch, Nordlet books the net payout to the bank, the provider fees, your commission and the amount owed to the seller on a seller payable account. A payable is money you owe and have not paid yet.
  • The Stripe import guide shows the full process.

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