VAT on B2B sales from Sweden to Germany

The EU reverse-charge mechanism for B2B intra-community supplies of goods means VAT "shifts" from the seller to the buyer. When you sell from Sweden to a German company: - You invoice **without Swedish VAT** (0%). The invoice carries the text "Reverse charge — Article 138 of Council Directive 2006/112/EC". - The German company declares **German VAT 19%** in its own VAT return (Umsatzsteuer-Voranmeldung). - The German company simultaneously deducts the same 19% as input VAT — so the net effect on the buyer's cash flow is zero, which is the point of the mechanism. Swedish standard VAT of 25% therefore does NOT apply to B2B sales to a German company with a valid VAT number. The mistake of invoicing 25% damages your customer relationship (they can't deduct it) and requires a credit note + re-issue to fix. German standard VAT is 19% (one of the lower rates in the EU — e.g. France 20%, Italy 22%, Sweden 25%).

Three things must be in place for you as a Swedish seller to invoice without VAT on B2B exports to Germany: **1. Valid German VAT number on the buyer.** Format: DE followed by 9 digits (e.g. DE123456789). You can validate against the EU VIES system (ec.europa.eu/taxation_customs/vies). BrandGate does this automatically when a German distributor is set up. **2. Goods must physically move from Sweden to Germany.** Reverse charge only applies on actual cross-border supply. If the goods stay in Sweden (e.g. the distributor self-collects from a Stockholm warehouse) Swedish 25% VAT applies. **3. You must be able to prove the transport.** Carrier documentation (CMR consignment note), tracking number, or delivery confirmation — at least one document showing the goods left Sweden. Keep documentation for 7 years per Swedish bookkeeping requirements. If any is missing you must invoice 25% Swedish VAT. Skatteverket is strict on audit and incorrect reverse-charge is a common flag trigger.

Selling goods from Sweden to Germany triggers two extra reporting obligations beyond ordinary VAT declaration: **EC Sales List (Periodisk sammanställning, PS).** Monthly report to Skatteverket per customer with VAT number + invoiced amount. Filed digitally via Skatteverket's e-service or via a Fortnox-automated export. Required: every reverse-charge invoice must be reported, regardless of amount. **Intrastat report.** Statistical report to Statistics Sweden (SCB) on goods movements to/from the EU. Reporting threshold for 2026: dispatches over 4.5 million SEK per year. Below threshold it's voluntary. Filed monthly with commodity code (CN code), weight, and value per shipment. BrandGate generates both EC Sales List and Intrastat support data automatically based on your B2B orders with German VAT numbers. You download CSV/XML and import into Skatteverket/SCB's respective systems.

A reverse-charge invoice to Germany must contain: - Seller name, address, registration number and Swedish VAT number (SE format) - Buyer name, address, and **German VAT number (DE format)** - Invoice number and date - Description of goods (Swedish AND German or English recommended) - Price per item + total **without VAT** - Clear text: "Reverse charge — Article 138 of Council Directive 2006/112/EC" - If applicable: incoterms (DDP, EXW, FCA etc.) and delivery terms BrandGate generates the invoice in the correct format automatically as soon as the distributor has a German VAT number registered. The invoice can be exported as PDF or sent directly to the customer's e-invoicing system (Peppol supported if needed). Bookkeeping in Fortnox runs automatically: sales post to 3010 EU Sales (instead of Swedish 3001), and account 4515 EU Goods Purchase is used on any returns.