VAT Reverse Charge: 🇱🇹 Lithuania to 🇷🇴 Romania
Cross-border B2B services · Reverse charge mechanism · Article 196, EU VAT Directive 2006/112/EC
Invoice at 0% VAT
For B2B services from a VAT-registered business in Lithuania to a VAT-registered business in Romania, reverse charge applies. You do not charge 21% Lithuania VAT. The customer accounts for 19% Romania VAT locally.
Invoice checklist
- State your Lithuania VAT number (LTXXXXXXXXX)
- State the customer's Romania VAT number (ROXXXXXXXXX)
- Set VAT rate to 0% — do not charge 21%
- Add: "VAT reverse charge — Article 196, Directive 2006/112/EC"
- Report in your EC Sales List (ESL/VIES) as a service supply
- Verify the customer VAT number at VIES and keep the confirmation
Calculate for Lithuania → Romania
Enter the net invoice amount to see the breakdown:
Frequently Asked Questions
Common questions about VAT reverse charge for Lithuania to Romania services.
Yes. When a VAT-registered business in Lithuania supplies B2B services to a VAT-registered business in Romania, the reverse charge mechanism applies under Article 196 of EU VAT Directive 2006/112/EC. The Lithuania supplier invoices at 0% VAT, and the Romania customer self-accounts for VAT at their local rate of 19%.
If the customer is VAT-registered, put 0% VAT on the invoice. You must include the customer's Romania VAT number and the note: "VAT reverse charge — Article 196, Directive 2006/112/EC". Do not charge Lithuania VAT (21%) on cross-border B2B service invoices.
The standard VAT rate in Romania is 19%. When reverse charge applies, the Romania customer declares 19% 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 Romania VAT number. Filing frequency depends on Lithuania's local rules — typically monthly or quarterly.
If the customer in Romania 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 Lithuania VAT (21%). For digital/electronically supplied services, Romania VAT (19%) 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. Romania VAT numbers start with the prefix "RO". 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 Lithuania and Romania, reverse charge applies.
Your invoice must include: (1) Your Lithuania VAT number, (2) The customer's Romania 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 Romania equivalent note in the local language.