VAT and Invoicing

Selling to Customers in Other EU Countries: Who Charges the VAT

Updated: 6 October 2026 Holdwise editorial team VAT European Union Invoicing

When your Dutch company sells to Germany, France or Spain, the VAT depends on whether the customer is a business or a consumer. Business customers usually account for the VAT themselves. Consumers pay the rate of their own country once your sales are above a small threshold. At Holdwise, we keep this answer up to date and change it when the rules change.

Start with one question

Is the customer a business with a valid VAT identification number, or a private consumer? The rules are different for each.

Selling to a business in another EU country? Check its VAT number in VIES and keep the dated result.

Selling to a business in another member state

You invoice with 0% Dutch value added tax. The customer accounts for the tax in their own country, at their own rate. They usually deduct the same amount in the same return, so the net effect for them is zero. For services this is called the reverse charge. For goods it is called an intra-Community supply.

Three conditions apply.

A valid VAT identification number. Check it with the EU tool VIES and keep a dated record of the check. If the number is invalid, you owe the Dutch VAT yourself.

Proof of transport, for goods. Transport documents, a delivery confirmation, or a statement from the customer that the goods arrived.

The right wording on the invoice. State both VAT numbers. For goods, also state that it is an intra-Community supply (Article 138(1) of the EU VAT Directive). For services, add the words «VAT reverse-charged». Then anyone can see from the invoice why the Dutch VAT is left off.

You also report these supplies in a separate periodic listing of your European customers, alongside your regular return.

Selling to consumers in another member state

For consumers, the rule is the other way around. Your customer pays the rate of their own country, and you collect it.

For small sellers there is a threshold. If your total sales to consumers in all other member states are below €10,000 per year, you charge Dutch value added tax as usual. Above that amount, you charge the rate of each customer's country.

For example, a Dutch web shop sells to German consumers. Below the threshold, it charges 21% Dutch VAT. Above the threshold, it charges 19% German VAT. For Hungarian consumers, the rate above the threshold would be 27%.

One registration for all EU countries

You charge VAT in up to twenty-six other countries, but you only need one registration. With the EU VAT scheme for cross-border sales (OSS), you file one quarterly return in the Netherlands. It includes all your sales to consumers in other EU countries. The Dutch tax authority then passes the money on to the other countries.

You register once, file one return each quarter and pay one amount.

Digital services to consumers

For software, e-books, online courses, streaming, hosting and apps sold to consumers, the rate of the consumer's country applies. You include these sales in the OSS return.

If the customer is a business, the reverse charge applies to digital services, as it does to any other service.

Services to businesses: the general rule

For most services supplied to business customers, the place of taxation is where the customer is established. You invoice with 0% and note the reverse charge, and the customer accounts for it at home.

Some services have their own rules, whoever the customer is. Work on buildings and land (immovable property) is taxed where the property is. Admission to events is taxed where the event takes place. Passenger transport is taxed where the transport takes place.

What to keep on file

For each supply at the zero rate, keep the customer's VAT identification number and your dated check of it. Also keep the transport documents for goods, the invoice with the required wording and your periodic listing. Keep all records for seven years.

With these documents, you can defend the zero rate in an audit. If they are missing, the Dutch tax authority can treat the supply as a domestic sale. It then charges 21% VAT on top of the price you already invoiced.

The main points

For a business customer with a valid VAT number, you invoice at 0%, state the reason (intra-Community supply for goods, reverse charge for services) and keep proof. For a consumer, you charge the Dutch rate below €10,000 of cross-border sales per year. Above that, you charge the rate of the consumer's country and report it in one Dutch quarterly return. For the rates themselves, see Dutch VAT rates 2026.

Each year, every Dutch BV files the same set of documents. These are the VAT returns, the corporate tax return, the annual accounts at the KVK and the UBO check. We do all of it for you. See corporate secretarial services in the Netherlands.

The VAT return is due every quarter, the payroll every month and the annual accounts once a year. Read more about this work, and how the monthly amount is calculated, on bookkeeping in the Netherlands.

You can also read VAT on Dropshipping into the EU and Getting Your Dutch VAT Back.

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Frequently asked questions

Do I charge Dutch VAT to a business customer in another EU country? +

Usually you invoice at 0% and the customer accounts for the tax in their own country. You need a valid VAT identification number and, for goods, proof of transport. For goods, the invoice states that it is an intra-Community supply (Article 138(1) of the EU VAT Directive). For services, it states "VAT reverse-charged".

What is the €10,000 threshold? +

It is a limit on your total sales to consumers in all other member states together. Below it, you charge Dutch VAT. Above it, you charge the rate of each customer's own country.

Do I need to register in every country where I have consumers? +

One registration in the Netherlands is enough, through the EU VAT scheme for cross-border sales (OSS). You file one quarterly return in the Netherlands for all your sales to consumers in other EU countries.

Sources Belastingdienst · KVK · wetten.overheid.nl Last updated: 6 October 2026