Difference Between European VAT on Digital Services And Digital Sales

VAT rules for digital sales

Non-EU companies, including those who make use of warehouses or so-called ‘fulfilment centres’ in the EU, can sell goods to EU consumers through online marketplaces. From 1 January 2021 new VAT rules will apply.

VAT on digital services and digital products

Non-EU companies that supply digital services or digital products and their customer does not give them a VAT registration number, they should treat this as a business-to-consumer supply and charge the VAT due in the customer’s EU member state. This is already valid. Read more