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Should you reverse charge?

Answer four questions. Get a plain-language place-of-supply result for EU B2B and nearby cases.

Customer

Intra-EU reverse charge

Do not charge VAT. The buyer accounts for it.

B2B services between different EU countries are generally taxed where the customer is established. You invoice at 0% and write that the reverse charge applies. The customer declares both output and input VAT in their own return. Digital services follow the same B2B rule.

  • Collect the customer’s EU VAT number and check the format before you send the invoice.
  • Add: “Reverse charge. VAT to be accounted for by the recipient (Article 196, Directive 2006/112/EC).”
  • Report the sale in your EC Sales List where your member state requires it.

A place-of-supply sketch for planning. It is not a ruling and it skips sector-specific domestic reverse charges.

Prefer the longer explainer? Open the reverse charge guide.

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