EU VAT identification number

The intra-community VAT number is an essential tax identifier for businesses conducting commercial transactions within the European Union. This number helps simplify and secure the exchange of goods and services between member states, ensuring that VAT is correctly declared and paid.

Why is it important?

For any business operating in multiple EU countries, the intra-community VAT number is crucial. It proves that the business is registered for VAT in its home country, which is essential to benefit from VAT exemption on cross-border sales. Without this number, a business might be required to pay VAT in each country where it makes sales, significantly complicating its operations.

How to obtain an intra-community VAT number?

To obtain this number, a business must register with the tax authorities of its country. The process may vary from one country to another, but it generally involves providing information about the business, such as its name, address, and legal structure. Once registered, the intra-community VAT number is assigned and must be used on all invoices and commercial documents related to intra-EU transactions.

Practical tips

• Verification: It is important to regularly verify the validity of your business partners' VAT numbers via the EU's VIES (VAT Information Exchange System).
• Compliance: Ensure that all your invoices include your intra-community VAT number to avoid tax complications.
• Updates: If your business changes status or address, immediately inform the tax authorities to update your VAT number.

In conclusion, the intra-community VAT number is an indispensable tool for any business wishing to operate efficiently and legally within the European single market. It not only facilitates tax compliance but also the smooth flow of cross-border trade.