There is no single “EU tax number.” The European Union uses two main tax identifiers, each issued country by country: a Tax Identification Number (TIN) for income tax, and a VAT identification number for value added tax on goods and services. A third identifier, the EORI number, is used for customs when goods cross the EU border. Which one you need depends on whether you’re an individual paying income tax, a business selling into the EU, or a company importing physical goods.
TIN and VAT Number: Two Different Things
A Tax Identification Number is the domestic identifier EU countries use to track individual and corporate income tax. Most member states issue TINs, but the format, length, and structure differ from one country to the next, and some countries use different TIN structures for nationals than for foreign residents. A few EU countries don’t use a TIN at all and rely on other identifiers instead. There is no EU-wide TIN.1European Commission. Taxpayer Identification Number (TIN)
A VAT identification number is separate and specific to value added tax. Businesses that make taxable supplies of goods or services, particularly across EU borders, use a VAT number to charge, collect, and report VAT. VAT numbers follow a recognizable EU-wide pattern: a two-letter country prefix followed by a sequence of digits or characters. A German VAT number starts with “DE” followed by nine digits. An Italian one starts with “IT” followed by eleven digits. A French one begins with “FR” followed by two characters and nine digits.2European Commission. VAT Identification Numbers
Having one does not mean you have the other. A freelancer living in France has a French TIN for income tax but no French VAT number unless business activities cross the VAT registration threshold. A company selling from Germany to consumers in Spain may need a VAT number but has no reason to obtain a Spanish TIN. The two systems are run separately by each country’s tax authority.
When You Need an EU VAT Number
Three situations typically trigger a VAT registration requirement in an EU country.
- Intra-community trade in goods. If your business buys products from a supplier in one EU country and has them shipped to another, you generally need a VAT number in the country where the goods arrive. This covers business-to-business purchases where goods physically cross a border between member states.
- Distance selling to consumers. If you sell goods online to consumers in other EU countries and your combined cross-border sales of goods and digital services exceed €10,000 per year, you must either register for VAT in each customer’s country or use the One Stop Shop simplification.3European Commission. VAT One Stop Shop
- Cross-border services to businesses. When you supply services to a business customer in another EU country, the reverse charge mechanism typically shifts the VAT obligation to the customer, who accounts for the VAT instead of the supplier. Both parties need valid VAT numbers for this to work correctly.4European Commission. Persons Liable for VAT
Failing to register when required exposes a business to penalties, though severity varies dramatically between member states. Some countries calculate penalties as a percentage of unpaid tax; others impose fixed administrative fines. Unregistered transactions may also lose eligibility for zero-rating or reverse charge treatment, leaving the seller liable for VAT that should have been handled differently.
The €10,000 Distance Selling Threshold
The EU applies a single cross-border threshold of €10,000. Below that amount, your cross-border distance sales of goods and telecommunications, broadcasting, and electronic (TBE) services can remain subject to VAT in the country where your business is established. Once your combined cross-border sales to consumers in other EU countries pass €10,000, you owe VAT at the rate of each customer’s country rather than your own.3European Commission. VAT One Stop Shop
How to Register for a VAT Number
Each member state runs its own VAT registration process, so exact documents and timelines differ. Most countries ask for similar core information: a description of business activities, details about the goods or services sold, the countries where you plan to operate, projected turnover figures, and verified bank account details. Legal entities usually submit proof of incorporation from their home country along with identification for directors or authorized representatives.
Most EU countries now accept applications through online portals, though a few still require paper submissions with notarized copies of corporate documents. Processing times depend on the country and the complexity of your business. Some countries issue numbers within days; others take several weeks or longer when they ask for additional documentation. Confirmation usually arrives as a formal certificate showing your assigned VAT number and the date from which you must begin collecting and reporting VAT.
Fiscal Representative Requirements for Non-EU Businesses
More than half of the 27 EU member states require non-EU businesses to appoint a local fiscal representative before they can register for VAT. The representative handles VAT obligations on the foreign company’s behalf and is typically held jointly liable for the business’s tax debts. Because of that shared liability, representatives almost always require a bank guarantee.
A few countries, notably Germany and the Czech Republic, have dropped this requirement and allow non-EU businesses to register directly. Where representation is required, factor in the cost: between the representative’s fees and the bank guarantee, the expense can be substantial for a business just testing a market. Check each specific member state’s rules before committing to a registration strategy.
The One Stop Shop Alternative
The EU operates three OSS schemes so businesses don’t have to register for VAT in every country where they have customers. Two are directly relevant to non-EU sellers.
Non-Union OSS
Any business established outside the EU that supplies services to EU consumers, including digital services, consulting, and professional services, can register under the Non-Union scheme. You pick any one EU country as your “Member State of Identification,” register through that country’s OSS portal, and receive a VAT number in the format EUxxxyyyyyz used only for OSS purposes. From there, you file quarterly VAT returns through a single portal covering all your EU consumer sales, charging VAT at each customer’s country rate.5European Commission. Register to OSS
Registration takes effect from the first day of the calendar quarter after you notify the member state. If you’ve already started making supplies, you can backdate registration to the date of your first supply, provided you inform the member state by the tenth day of the following month.5European Commission. Register to OSS
Import One Stop Shop
The IOSS covers distance sales of imported goods with a consignment value up to €150. Non-EU sellers generally need to appoint an EU-established intermediary to register and manage IOSS compliance, unless they have their own EU establishment. Once registered, the seller collects VAT at the point of sale and remits it through the IOSS portal, and the goods clear customs without the buyer facing a separate VAT charge on delivery.
Starting July 1, 2026, the EU will begin levying a flat customs duty of €3 per item on low-value parcels valued under €150, applied to each item according to its tariff heading. This applies to goods entering the EU from sellers registered in IOSS. The €3 flat rate is temporary and will remain in place until a permanent system eliminating the duty-free threshold entirely takes effect, at which point normal EU tariff rates will apply to all goods under €150.6Council of the EU. Council Agrees to Levy Customs Duty on Small Parcels as of 1 July 2026
EORI Numbers for Customs
An EORI (Economic Operators Registration and Identification) number is a third EU identifier, separate from both TINs and VAT numbers. It is used only for customs operations, tracking goods entering or leaving the EU, rather than for tax collection. The format is a two-letter country code followed by up to 15 alphanumeric characters.7European Commission. Economic Operators Registration and Identification Number (EORI)
Non-EU businesses need an EORI if they are directly lodging customs declarations, entry or exit summary declarations, temporary storage declarations, or acting as a carrier within the EU. In practice, many non-EU online sellers never need one because their freight carrier or customs broker files declarations on their behalf. When you do need an EORI, you apply to the customs authority of the member state where you plan to carry out your first customs operation.7European Commission. Economic Operators Registration and Identification Number (EORI)
Verifying a VAT Number Through VIES
The VAT Information Exchange System is a free European Commission tool for checking whether a business partner’s VAT number is valid. Since January 2020, holding a valid VAT number for your customer is a material condition for applying the zero percent VAT rate on intra-community supplies. If you cannot confirm the number is active, you are expected to charge VAT at your local rate.
A VIES query returns one of two results: the number is valid, or it is not. Data protection rules mean the system does not directly display the name and address tied to a number. It can, however, confirm whether a name and address you provide match what is on file. If VIES cannot return the information you need, your national tax authority can provide further confirmation.8Your Europe. Check a VAT Number (VIES)
Save your VIES confirmations. During a tax audit, you will need to show that you checked the number before zero-rating a supply. A screenshot or PDF with the date and result of the query is standard practice. If a number comes back invalid and your customer cannot resolve it, charging the full local VAT rate protects you from liability.
Reclaiming VAT as a Non-EU Business
Non-EU businesses that incur VAT on expenses within an EU country, such as conference fees, hotel stays, or equipment purchases, can claim refunds under the Thirteenth Council Directive (86/560/EEC), commonly called the “13th Directive” refund. To qualify, your business must not be established in the EU country where the VAT was paid and must not be registered for VAT there.9European Commission. VAT Refunds
There are catches. Any EU member state can refuse refunds if your home country does not offer reciprocal VAT refund rights to businesses from that member state. Countries can also restrict which expenses qualify and may require you to appoint a local tax representative to file the claim. Deadlines and minimum claim amounts vary by country, and claims are generally due by mid-year of the year following the purchase.9European Commission. VAT Refunds
U.S. Tax Points to Know
For U.S. business owners, VAT payments to EU countries generally do not qualify for the U.S. foreign tax credit, which is limited to foreign income taxes. VAT may instead be deductible as a business expense, but the benefit is smaller than a dollar-for-dollar credit would be.10Internal Revenue Service. Am I Eligible to Claim the Foreign Tax Credit
If you open a foreign bank account to handle EU VAT payments, watch the FBAR rules. If the aggregate value of all your foreign financial accounts exceeds $10,000 at any point during the calendar year, you must file FinCEN Report 114 (the FBAR). This applies regardless of whether the account generates taxable income, so a euro account used only for VAT remittances still counts.11Internal Revenue Service. Report of Foreign Bank and Financial Accounts (FBAR)
U.S. taxpayers operating in the EU through a foreign disregarded entity or branch may also need to file IRS Form 8858. The penalty for failing to file runs $10,000 per entity, so this is worth confirming early rather than during an audit.