Last updated: 25 October 2026
When a German freelancer provides a service to a business in another EU country, no German VAT is charged. The client pays the VAT in their own country under reverse charge. Your invoice shows the net amount, your VAT ID, the client's VAT ID and the note “Steuerschuldnerschaft des Leistungsempfängers” (§ 14a UStG). Services to businesses outside the EU are not taxable in Germany at all. You also report EU reverse charge sales in the Zusammenfassende Meldung by the 25th day after each quarter, unless you are a Kleinunternehmer.
Which rule applies to your client
For services, it comes down to two questions: is the client a business or a private person, and are they in Germany, elsewhere in the EU, or outside the EU?
| Client | German VAT? | Note on invoice |
|---|---|---|
| Business in Germany | 19% German VAT (or none as a Kleinunternehmer) | None, or the §19 UStG note |
| Business in another EU country | No German VAT, reverse charge | Steuerschuldnerschaft des Leistungsempfängers, plus both VAT IDs |
| Business outside the EU | No German VAT | Nicht im Inland steuerbare Leistung |
| Private person in another EU country | Usually 19% German VAT | None (digital services above €10,000: client country VAT via OSS) |
| Private person outside the EU | No German VAT for consulting, IT, design, advertising, translation | Nicht im Inland steuerbare Leistung |
This covers the general rules for services (§ 3a UStG). Work on a building, event admission, passenger transport and selling goods follow their own rules.
EU business clients: how reverse charge works
Reverse charge moves the VAT liability from you to your client. You do not charge VAT. Your client calculates the VAT of their own country, declares it, and usually deducts it again as input tax in the same return. For them it is mostly a paperwork entry.
1. Check the client is a business
Ask for their VAT ID and check it before you invoice. The BZSt confirmation service (and the EU VIES site) shows whether a VAT ID is valid. A qualified confirmation from the BZSt also checks name and address, which is the safe version to keep on file.
2. Get your own VAT ID
Apply for a USt-IdNr at the Bundeszentralamt für Steuern. It is free and done online. Your Steuernummer alone is not enough on a reverse charge invoice.
3. Write the invoice
Net amount only, no VAT line. Both VAT IDs. The note "Steuerschuldnerschaft des Leistungsempfängers". Adding the English "Reverse charge" next to it helps your client's accountant.
4. Send it on time
Issue the invoice by the 15th day of the month after the month you performed the service (§ 14a Abs. 1 UStG).
5. Report it
VAT-registered freelancers include the amount in their Umsatzsteuervoranmeldung and file the Zusammenfassende Meldung with the BZSt by the 25th day after the quarter ends (§ 18a UStG).
Example invoice wording
For a web design project for a company in the Netherlands:
Nettobetrag: 3.200,00 EUR
Umsatzsteuer: 0,00 EUR
Rechnungsbetrag: 3.200,00 EUR
USt-IdNr. Leistender: DE123456789
USt-IdNr. Leistungsempfänger: NL123456789B01
Steuerschuldnerschaft des Leistungsempfängers / Reverse charge
The VAT IDs above are format examples, not real numbers.
Clients outside the EU
A service to a business in the US, the UK, Switzerland, India or any other non-EU country is not taxable in Germany. There is no reverse charge note and no Zusammenfassende Meldung. Invoice the net amount and add a short note such as “Nicht im Inland steuerbare Leistung” (service not taxable in Germany). Keep proof that the client is a business, for example a company registration or their tax number.
For private clients outside the EU, the common freelance services are also taxed abroad: consulting, legal and tax advice, engineering, IT and data processing, advertising, design work and translation (§ 3a Abs. 4 UStG). Coaching in person, photography at an event in Germany or other on-site work can still be taxable in Germany. If you are unsure, ask a Steuerberater before the first invoice.
If you are a Kleinunternehmer
The same place-of-supply rules apply to you. For an EU business client you still need a VAT ID and the reverse charge note, because the client must know they owe the VAT. You do not file the Zusammenfassende Meldung (§ 18a Abs. 4 UStG), and getting a VAT ID does not end your Kleinunternehmer status.
Your limits still count it: revenue from clients abroad counts toward the €25,000 and €100,000 Kleinunternehmer limits. See the Kleinunternehmer guide for how the limits work.
Common mistakes
Charging 19% German VAT to an EU business
If you show German VAT on an invoice that should be reverse charge, you owe that VAT to the Finanzamt (§ 14c UStG) and your client cannot deduct it. Cancel the invoice and issue a corrected one.
Leaving out the client's VAT ID
Without a valid VAT ID, the tax office can treat the client as a private person, and then German VAT may be due. Check the number before you invoice, not afterwards.
Using the Steuernummer instead of a VAT ID
Reverse charge invoices need your USt-IdNr. Apply for it before the first EU invoice.
Forgetting the Zusammenfassende Meldung
Missing or late filings can lead to a fine. Put the 25th of January, April, July and October in your calendar.
Frequently asked questions
What do I write on a reverse charge invoice in Germany?
Invoice the net amount with no German VAT and add the note "Steuerschuldnerschaft des Leistungsempfängers" (English: "reverse charge"). The invoice must show your own VAT ID (USt-IdNr) and your client's VAT ID (§ 14a Abs. 1 UStG). All other mandatory invoice fields still apply.
When does reverse charge apply to a German freelancer?
Mainly when you provide a service to a business in another EU country. Under the general rule (§ 3a Abs. 2 UStG) the service is taxed where the client is, and the client accounts for the VAT in their own country. Some on-site services, such as work on a building or event admission, follow different rules.
Do I charge German VAT to clients outside the EU?
Not for business clients. A service to a business in the US, UK, Switzerland or any other non-EU country is not taxable in Germany, so you invoice the net amount with a note such as "Nicht im Inland steuerbare Leistung". For private clients outside the EU, typical freelance services like consulting, IT, design, advertising and translation are also taxed abroad (§ 3a Abs. 4 UStG).
Do I need a VAT ID (USt-IdNr) to invoice EU clients?
Yes, for EU business clients. You apply for it at the Bundeszentralamt für Steuern (BZSt), online and free. Kleinunternehmer can get one too without losing their status. Your Steuernummer is not enough on a reverse charge invoice.
What is the Zusammenfassende Meldung and when is it due?
The Zusammenfassende Meldung (ZM, EC Sales List) lists every EU business client you invoiced under reverse charge, with their VAT ID and the net amount. You file it online with the BZSt by the 25th day after the end of each quarter (§ 18a Abs. 2 UStG). Kleinunternehmer do not file it (§ 18a Abs. 4 UStG).
Do I charge German VAT to private clients in other EU countries?
Usually yes. Most freelance services to private individuals in the EU are taxed in Germany, so a VAT-registered freelancer adds 19% German VAT. The main exception is digital services (for example streaming, downloads or online courses delivered automatically). Above €10,000 a year in EU-wide sales of these, VAT of the client's country applies, usually declared through the One-Stop-Shop (OSS).
Is there a deadline for issuing a reverse charge invoice?
Yes. For services to EU business clients under the general rule, the invoice must be issued by the 15th day of the month after the month you performed the service (§ 14a Abs. 1 UStG).
General information, not tax advice. For your own situation, ask a Steuerberater.
Related guides
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