Dx-Tax Navi - Digitalization and International Taxation Made Easy

Q,WHAT IS VAT REGISTRATION?

Author: Opti Corporation|Sep 5, 2023 2:56:11 PM

IF YOU ARE ENGAGED IN TAXABLE ACTIVITIES AS DEFINED BY THE EUROPEAN VAT DIRECTIVE, YOU ARE REQUIRED TO OBTAIN A VAT NUMBER AND PAY TAXES IN EUROPE.

FOR EXAMPLE, SUPPOSE THERE IS A CASE IN WHICH A JAPANESE COMPANY B PURCHASES GOODS FROM A GERMAN SUPPLIER COMPANY A AND SELLS THEM TO A GERMAN COMPANY C. IN SUCH A CASE, THE GOODS ARE SHIPPED DIRECTLY FROM COMPANY A TO COMPANY C. IN SUCH A CASE, THE GOODS ARE SHIPPED DIRECTLY FROM COMPANY A TO COMPANY C.

IN SUCH A CASE, JAPANESE COMPANY B IS SELLING GOODS IN GERMANY, AND EVEN IF IT IS A JAPANESE COMPANY, IT IS REQUIRED TO OBTAIN A VAT NUMBER IN GERMANY.

(TAX DATABASE) WHAT IS VAT REGISTRATION?

(Tax database) Compliance