VAT Reverse Charge: 🇩🇰 Denmark to 🇧🇪 Belgium

Yes. When a VAT-registered business in Denmark supplies B2B services to a VAT-registered business in Belgium, the reverse charge mechanism applies under Article 196 of EU VAT Directive 2006/112/EC. The Denmark supplier invoices at 0% VAT, and the Belgium customer self-accounts for VAT at their local rate of 21%.

If the customer is VAT-registered, put 0% VAT on the invoice. You must include the customer's Belgium VAT number and the note: "VAT reverse charge — Article 196, Directive 2006/112/EC". Do not charge Denmark VAT (25%) on cross-border B2B service invoices.

The standard VAT rate in Belgium is 21%. When reverse charge applies, the Belgium customer declares 21% VAT in their local VAT return and simultaneously deducts it as input VAT — so the net cash effect is zero for a fully VAT-registered business.

Yes. You must report cross-border B2B services in your EC Sales List (ESL), also known as VIES or Recapitulative Statement. Report these as services (not goods) using the customer's Belgium VAT number. Filing frequency depends on Denmark's local rules — typically monthly or quarterly.

If the customer in Belgium does not have a VAT number, reverse charge does not apply. For B2C supplies or non-registered businesses, different rules apply. For most services, you would charge Denmark VAT (25%). For digital/electronically supplied services, Belgium VAT (21%) may apply via the EU One Stop Shop (OSS) scheme.

Verify the customer's VAT number using the EU VIES system at ec.europa.eu/taxation_customs/vies before issuing a zero-rated invoice. Belgium VAT numbers start with the prefix "BE". Keep a record of the VIES confirmation for your audit trail.

Reverse charge under Article 196 applies to most B2B services where the place of supply is the customer's country. Some services have special rules — for example, services related to immovable property are taxed where the property is located, and short-term vehicle hire has specific rules. For standard professional, consulting, digital, and software services between Denmark and Belgium, reverse charge applies.

Your invoice must include: (1) Your Denmark VAT number, (2) The customer's Belgium VAT number, (3) 0% VAT / VAT amount: 0.00, and (4) The legal reference: "Reverse charge — Article 196, Council Directive 2006/112/EC". Some suppliers also add the Belgium equivalent note in French: "Autoliquidation de la TVA".