Duty27™B2B sales in the EU: when you don't charge VAT
Selling to a business in another EU country usually works differently from selling to a consumer. This guide explains the basic rule and what it means for you. Last reviewed 2 October 2026.
Goods sold to a business in another EU country
If you sell goods to a business and the goods are sent to another EU country, you do not charge VAT if the customer has a valid EU VAT number.
Services sold to a business in another EU country
If you sell services to businesses based in another EU country, you don't usually need to charge your customers VAT. Your customers pay VAT on the services received at the applicable rate in their own country, using the reverse charge procedure.
What the reverse charge means
Under the reverse charge procedure, your customer, not you, pays the VAT on the service in their own country.
Why the VAT number matters
The rule for goods depends on the customer having a valid EU VAT number. The European Commission provides VIES, a search engine, to check whether a business is registered to trade cross-border within the EU. Keep a record of each check.
Exceptions
Both rules come with important exceptions, which the European Commission points out itself. Special cases exist, so check your own situation before relying on the general rule.
How Duty27 fits in
Duty27's API determines the reverse charge for validated business buyers and checks their VAT number through VIES.
Related
Sources
This page is general information, not tax advice. Confirm your own situation with a tax adviser or your tax authority.