Crossing a national border does not automatically make a freight service VAT-free. The tax treatment must be assessed under the rules applying to the service and customer. Cargo Euro Hub calculates the commercial arrangement individually using the relevant billing information.

Separate the transactions

QuestionWhat it concerns
VAT on the freight invoiceThe transport service supplied to the customer
VAT on the goods transactionThe sale or movement of the commercial goods
Import VATGoods entering the relevant tax territory

These questions can involve different parties and evidence. The consignee’s address alone does not identify who receives the freight service for VAT purposes.

Information to provide

Give the contracting customer’s legal details, country of establishment and relevant VAT number. Describe the route accurately, including special territories, and identify any import or export arrangement relevant to the service.

Avoid a blanket rule

Do not assume that every EU-to-EU booking has the same invoice treatment or that every EU-to-UK movement qualifies for an exemption. A zero rate, exemption or reverse-charge treatment must have the applicable basis and documentation.

Ask the manager to explain the treatment shown on the offer or invoice. If your accounts team expects a different result, provide the relevant company and transaction details for review.

See transport VAT, internal EU movements and border taxes.