When does the VAT Reverse Charge mechanism apply on cross-border invoices?

The Reverse Charge applies in B2B transactions between businesses in different EU member states. The seller charges 0% VAT and includes the note 'VAT Subject to Reverse Charge', shifting VAT liability to the buyer.

What buyer information is required on an EU VAT invoice?

You must include the buyer's full legal business name, registered address, and valid VIES-registered VAT identification number.

How do I verify if a client's EU VAT number is valid?

Use the European Commission's online VIES (VAT Information Exchange System) database to verify the buyer's VAT registration number before issuing a zero-rated invoice.

EU & UK VAT Invoicing: Compliance & Billing Rules

Navigate UK HMRC and EU VAT rules. Verify dual VAT registration IDs, apply correct tax rates, and include Reverse Charge declarations.

EU VAT Invoice — Rates, Validation & Reverse Charge Rules

Invoicing across EU member states requires strict adherence to VAT directives. B2B cross-border transactions often qualify for the Reverse Charge mechanism, which requires specific legal disclaimers and dual VAT ID validation.

Configure dual seller/buyer VAT registration fields, apply the correct tax rate per line item, and append standard Reverse Charge compliance text using the generator above.

Written by the Invio Team — invoicing tools built for freelancers and small businesses worldwide

Last updated: July 2026

This guide is for informational purposes only. For tax or legal advice specific to your jurisdiction, consult a qualified accountant or tax professional.