Invoicing clients outside the EU: how VAT works

Invoicing services to clients outside the European Union follows a fundamentally different rule than working with EU businesses. While reverse charge applies to B2B within the EU, the place-of-supply rule flips for non-EU clients: you typically charge zero VAT, and the customer's VAT status doesn't matter. This guide explains the rule, what your invoice must show, and how to handle real-world cases like post-Brexit UK work.

The place-of-supply rule for non-EU clients#

For services provided to clients outside the EU, the place where VAT is due is determined by where the customer is established, not where you are. In most cases, this means:

The practical effect: When you provide a service to a business or consumer established outside the EU, that service is typically outside the scope of Dutch VAT. You invoice them without Dutch VAT, and they handle any applicable VAT or tax in their own country under their own rules.

Why this matters#

This is not the same as the EU reverse-charge rule (0% with "VAT reverse charged"). Outside the EU, you simply don't charge Dutch VAT at all. The customer cannot reclaim it from you or the Dutch tax office—they must claim VAT relief through their own country's system, if available.

You are not required to add a note like "VAT reverse charged" on non-EU invoices (although some practitioners do, for clarity). The absence of VAT is sufficient.

What to put on your invoice#

When invoicing a non-EU client, your invoice should:

• Show your name, address, and Dutch VAT number (if you have one)
• Show the client's name and address (no VAT number required)
• List the service description, date, and amount (net, in EUR or their currency)
• Show 0% VAT or omit the VAT line altogether
• Total the amount due (same as the net, since no VAT is added)
• Add a note if desired: 'Service supplied outside the scope of Dutch VAT' (helpful for your records and clarity)

Example invoice to a US client:

Your Company Name
Address in the Netherlands
Dutch VAT number: NL123456789B01

Bill to:
John Smith
ABC Corp
New York, USA

Services rendered (April 2026):
  Web development consultation (5 hours @ €100/hr)  €500.00

Subtotal                                            €500.00
VAT (outside scope of Dutch VAT)                      €0.00
                                                   ________
Total due                                          €500.00

Note: This service is supplied outside the scope of Dutch VAT (place of supply: United States).

EU reverse charge vs non-EU services#

The distinction is critical:

The key difference:

• EU clients with VAT numbers are still inside the European VAT system; they handle VAT themselves.
• Non-EU clients are entirely outside the Dutch VAT system; you simply don't charge Dutch VAT.

If a non-EU client claims they have an EU VAT number (e.g., they're a non-EU company with an EU subsidiary), verify that number on the VIES register. If it's genuine, they may qualify for reverse charge. But typically, a non-EU-based company does not have an EU VAT number.

Real-world example: post-Brexit UK work#

The United Kingdom left the EU on 31 January 2020 (Brexit). After the transition period ended on 31 December 2020, the UK became a third country for VAT purposes.

If you invoice a UK business or consumer:

• They are now treated as a non-EU client
• You charge 0% Dutch VAT (not reverse charge)
• You do not report it in your ICP (because it's not intra-EU)
• The UK customer cannot reclaim Dutch VAT; they may apply for VAT relief under their own country's rules (if they qualify)

Example:

You provide website design to a London-based marketing agency. You invoice €2,000 + 0% VAT = €2,000 total. You do not use reverse charge, do not mention VAT payable by recipient, and do not report this sale in your ICP—it's simply a service to a non-EU client.

Reporting non-EU services in your VAT return#

Unlike ICP sales, services to non-EU clients are generally not reported separately in your VAT return. They fall into the category of supplies outside the scope of VAT and do not appear as a line item.

However, you should:

• Keep invoices and proof of service delivery (email contracts, delivery dates, payment receipts)
• Record them in your accounting system clearly marked as non-EU supplies
• Be ready to explain them if audited

If the Belastingdienst questions whether a supply was truly outside the scope of VAT, your documentation must show the customer's location and the nature of the service.

When you might still charge VAT#

The rule is broad, but exceptions exist. You might charge Dutch VAT to a non-EU client if:

• They are a consumer located in the EU (even temporarily, e.g., on holiday), and the service is consumed there
• The service is classified as culturally significant (e.g., museum entry, live entertainment) and is provided in the Netherlands to a foreign visitor
• You are registered for the One-Stop Shop (OSS) and selling digital services to consumers in the EU under the OSS rules (not relevant for most B2B service providers)

For nearly all freelancers invoicing services to a non-EU business, though, the rule is simple: 0% Dutch VAT, no reverse charge, no ICP reporting.

Frequently asked questions#

Working with clients beyond the EU expands your market but introduces VAT rules that differ from what you apply domestically. The good news: for non-EU services, the VAT calculation is simpler than EU reverse charge—you just charge zero. Keep your client locations documented, invoice clearly, and when you're ready to scale internationally, ZZP Belasting helps you track which rules apply to each customer so you never misclassify a supply.

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