EU VAT identified person Thread poster: Jitka Komarkova (Mgr.)
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Dear all,
many thanks for considering my question below.
In brief, I deliver services to a person residing in Croatia (it is an end customer of mine). He has not provided me with his EU VAT number claiming he has none. But I am afraid that my tax office will require his VAT No. be included in my invoices.
According to EU, in the Czech Republic, a person receiving services from another member state is obliged to register for a status of a "VAT-identified person" al... See more Dear all,
many thanks for considering my question below.
In brief, I deliver services to a person residing in Croatia (it is an end customer of mine). He has not provided me with his EU VAT number claiming he has none. But I am afraid that my tax office will require his VAT No. be included in my invoices.
According to EU, in the Czech Republic, a person receiving services from another member state is obliged to register for a status of a "VAT-identified person" although he/she does not have to be a VAT payer. In practice, if you accept or deliver services from/to another member state, as long as your turnover is below an annual turnover threshold, you dont have to be a VAT payer, but yet have to register to become a VAT-identified person and report your business activities.
So my question is:
Is the situation in Croatia different from ours? And hence... Is the Croation person right (according to your current legislation) and I do not need his VAT number because he really does not need to have any? Or should the person be EU VAT-identified as well? What is your experience or insight?
I hope it is clear. If not, please ask questions and help me to find out!
Many thanks in advance!
Br, Jitka ▲ Collapse
| | | | Gordana Podvezanec 
Croatia
Local time: 19:07
Member (2003)
German to Croatian
+ ...
SITE LOCALIZER
I am no expert but every Croatian citisen has his or her own OIB number
which can be checked here: http://oib.oib.hr/SaznajOibWeb/pravnaOsoba.html
which then becomes the VAT number with a prefix: HR (HR+OIB)
... See more I am no expert but every Croatian citisen has his or her own OIB number
which can be checked here: http://oib.oib.hr/SaznajOibWeb/pravnaOsoba.html
which then becomes the VAT number with a prefix: HR (HR+OIB)
which can be checked here
http://ec.europa.eu/taxation_customs/vies/
( only for individuals and sole enterpreneurs )
so you could ask your client to send you the OIB number and add HR
and then you have the official VAT number - if your client works as a sole proprietor
and
only if your client has his or her own VAT number registered at the Tax Office.
I hope this helps.
[Edited at 2015-02-23 08:39 GMT] ▲ Collapse
| | | | Darko Pauković
Croatia
Local time: 19:07
Member (2012)
English to Croatian
+ ...
| VAT ID number | Feb 23, 2015 |
You are right about this:
According to EU, in the Czech Republic, a person receiving services from another member state is obliged to register for a status of a "VAT-identified person" although he/she does not have to be a VAT payer. In practice, if you accept or deliver services from/to another member state, as long as your turnover is below an annual turnover threshold, you dont have to be a VAT payer, but yet have to register to become a VAT-identified person and report your business ac... See more You are right about this:
According to EU, in the Czech Republic, a person receiving services from another member state is obliged to register for a status of a "VAT-identified person" although he/she does not have to be a VAT payer. In practice, if you accept or deliver services from/to another member state, as long as your turnover is below an annual turnover threshold, you dont have to be a VAT payer, but yet have to register to become a VAT-identified person and report your business activities.
Prior to doing business within the EU, every Croatian company must request VAT ID number from the Tax Office. ▲ Collapse
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Dear Gordana,
many thanks for your prompt reply.
I understand.
But anyway, you have to register at a tax office to become the identified person, it is not "automatic" without any action. So the person should actually perform this according to your law?
Many thanks
Jitka
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Many thanks, Darko!
Do you think you could please provide me with a kind of online link to your (in Croatian) official legislation web setting out this requeirement so that I can support my assertion when communicating with my client? I do not speak Croatian at all so searching for anything like this would be without success.
Many thanks!
Br, Jitka
| | | | Gordana Podvezanec
Croatia
Local time: 19:07
Member (2003)
German to Croatian
+ ...
SITE LOCALIZER | Darko Pauković
Croatia
Local time: 19:07
Member (2012)
English to Croatian
+ ...
Dear Jitka,
you may also forward this link to your client (text in Croatian): http://www.porezna-uprava.hr/Lists/Vijesti/Vijest.aspx?ID=555&RootFolder=/Lists/Vijesti&Source=http://www.porezna-uprava.hr/Stranice/Vijesti.aspx
The first sentence explains that you have to have VAT ID to do business within the EU. As Gordana mentioned before, it is a combination of HR + OIB, but it was not assigned automatically to all companies and you cannot simply write HR and OIB together on your invoice.
And your client will have to pay VAT (25%) in Croatia for services received (maybe they are trying to avoid this or simply have a bad accountant who is not familiar with the regulations?)
Anyway, insist on getting the VAT ID before you send them your invoice.
Darko ▲ Collapse
| | | | | Many thanks! | Feb 23, 2015 |
Dear Gordana, dear Darko,
many thanks for your help! I believe this is exactly what I need to explain my point.
Your help is highly appreciated!
Best regards
Jitka
[Edited at 2015-02-24 07:23 GMT]
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