I understand that if a company is making sales to the EU from the UK, then it does not charge VAT if the customer has a VAT number. However, we have reason to believe that there may be a limit to the level of sales that can be made in this way. According to “my man” in Germany, once sales exceed €100,000 to a client in an EU market, one has to register for VAT in the market concerned. Can you clarify please?

Q

I understand that if a company is making sales to the EU from the UK, then it does not charge VAT if the customer has a VAT number. However, we have reason to believe that there may be a limit to the level of sales that can be made in this way. According to “my man” in Germany, once sales exceed €100,000 to a client in an EU market, one has to register for VAT in the market concerned. Can you clarify please?

A

You’re mixing up Business to Business (B2B) and Business to Consumer (B2C) supplies of goods.

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