This chapter contains this topic:
The members of the European Union (EU) signed a Single European Act in 1987 in which they agreed to open the markets to an area without internal frontiers (boundaries) in which the free movement of goods, persons, services and capital is assured in accordance with the provisions of the Treaty of Rome. This implies that the system of VAT payment among European Union members no longer exists.
Effective January 1, 1993, the act only regulates trade among EU members. Internal trade within a country as well as trade to countries outside the EU is unchanged.
Companies registered in EU countries that deal in intra-community trade of goods and are over the threshold set by the tax authorities of that country must submit the following reports:
EU Sales Listing. The report lists the customer by VAT number, country of destination and the total amount in local currency. This report must be filed quarterly unless other arrangements are made.
Intrastat Report. This monthly report is product based and shows statistics about intra-community transfers of goods.
See the Tax Requirements section in the Global Solutions Guide for the applicable European Union Country.