Reference
Markdown exportVAT ID
Tax identifier used for VAT reporting and cross-border trade in the EU.
Definition
Tax identifier used for VAT reporting and cross-border trade in the EU.
Why this term matters
For an intra-Community supply, the buyer’s valid VAT ID is one item used to support the Article 138 exemption. VIES checks whether an EU VAT ID is active. An invalid ID can put the tax treatment at risk, so confirm the transaction rules and keep verification evidence.
Explanation
Required only for tax scenarios that call for a seller or buyer VAT identifier.
May be used as part of a Peppol Participant ID when the selected scheme permits it.
Common mistakes
- Confusing the VAT ID (BT-31, e.g., DE123456789) with the local tax registration number (BT-32) or the company registration number (BT-30).
- Failing to prefix the country code — VIES rejects "123456789" but accepts "DE123456789".
- Storing the VAT ID without VIES verification, then issuing a reverse-charge invoice to a buyer whose VAT ID was deregistered last quarter.
- Putting a personal/seller-only tax ID into the buyer VAT ID field on B2C invoices — the VAT ID elements should simply be omitted for unidentified consumers.
Frequently asked questions
How do I verify a VAT ID?
Use the EU VIES service (ec.europa.eu/taxation_customs/vies) which exposes a SOAP and REST API. Most ERPs and invoicing platforms can call it on every new customer record and store the verification timestamp for audit purposes.
Where does the VAT ID go in EN 16931?
The seller VAT ID is BT-31 and the buyer VAT ID is BT-48. In UBL, each value is in cac:PartyTaxScheme/cbc:CompanyID under a TaxScheme whose ID is VAT. Use the complete registered value.
Is the VAT ID always required on a B2B invoice?
No. The tax scenario and VAT category decide. In Germany, a full invoice identifies the seller with either a tax number or a VAT ID; §14 UStG does not require the VAT ID specifically. EN 16931 category rules determine whether BT-31 or BT-48 is needed.