I'm relocating from one EU country to another.

The origin country has 18% VAT, the destination has 23% VAT.

I purchase the service in the origin country; the mover is trying to charge me the destination country rate (which is also where they are located). My assumption is that VAT has to be charged at the point of consumption.

What is right here?

  • The service providers should cover all the VAT and put it under the invoice. – mootmoot Aug 7 '19 at 15:04
  • the question is what VAT rate? the origin, or the destination? they claim they have to do VAT at the destination, where they reside, and my understanding of the law is that it depends on how much business they have done with the origin country, but I could be wrong. this is the most clear text I found: ec.europa.eu/taxation_customs/business/vat/eu-vat-rules-topic/… and it's not super clear... – Thomas Aug 7 '19 at 15:08
  • Perhaps you should ask the mover to itemised the cost. Because there are costs incurred(labour, custom clearance, transportation) in both countries. Some service providers may be cheeky and give you a lump sum price and jack up the price from the expensive end VAT. – mootmoot Aug 7 '19 at 15:13

See Section 3.2 here. You appear to be correct, assuming you're not a business customer.

The place of supply of freight transport and related services supplied to customers who are not ‘in business’ is as follows: intra-EU transport, where the transport begins.

But other countries might apply the rules differently.


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