How the EU handles cross-border business sales: the supply is zero-rated and the BUYER accounts for the VAT on their own return.
How the EU handles cross-border business sales: the supply is zero-rated and the BUYER accounts for the VAT on their own return.
It looks like an exemption and it is not. You must hold the buyer's VAT number, validate it, state the reverse charge on the invoice and report the sale on an EC Sales List. Zero-rating against a number that turns out to be invalid leaves YOU liable for the VAT.
Every term here is one the protocol actually uses, defined for somebody who was never taught it — with the part that usually goes wrong. All terms →