Originally Posted by Minoo

You file a report each quarter with the total sales made in each member state (there are 28) and you must keep all sales records for at least 10 years. Some states even require you to issue a VAT invoice to the end client.

You have to use 2 different methods to determine the country where you client resides to calculate the proper VAT %. Some of the methods listed in the law are : billing country, credit card prefix, mobile number, IP address.

Right now there's no practical way for EU to enforce this law, but at some point in the future they will stop you from accepting EU issued credit-cards if you don't comply.

Governments complained to EU that their citizens were buying services online from countries with a lower VAT (eg. 18% in Malta versus 27% in Hungary) so they will pursue this matter when their citizens will turn to outside EU companies.

Disclaimer: I run a business that provides API services to calculate and report VAT. If you have questions on this issue, PM me.

Originally Posted by MaDalton

i have sent you a message...