Reverse Charge VAT — Sample Invoice Step by Step
A Polish manufacturing company buys a used CNC milling machine from a German seller for EUR 35,000 net. The German invoice shows zero VAT and carries the note "Reverse Charge pursuant to Section 13b UStG." The Polish buyer's accountant now needs to book the intra-community acquisition (WNT) correctly — declaring 23% output VAT and deducting it as input VAT in the same filing period.
Sounds straightforward. In practice, this single transaction touches two tax authorities, two reporting systems, and at least five fields where a mistake can trigger a correction notice. This article walks through the entire process with a concrete numerical example.
What reverse charge means and when it applies
Reverse charge shifts the obligation to account for VAT from the seller to the buyer. Within the EU, it applies to intra-community supplies of goods between two VAT-registered businesses. The legal basis is Article 138 of the VAT Directive 2006/112/EC on the seller's side, and Article 17(1)(4) of the Polish VAT Act on the buyer's side.
Three conditions must be met:
- Both parties hold active EU VAT identification numbers (verifiable via VIES)
- The goods physically leave Germany and arrive in Poland
- The transaction is documented with a proper invoice and proof of transport (CMR waybill or equivalent)
When these conditions are satisfied, the German seller issues a net invoice without German 19% VAT. The Polish buyer self-assesses Polish 23% VAT on the acquisition.
Mandatory fields on the German seller's invoice
The invoice must comply with Section 14(4) UStG and include a reverse charge notice. Here is what it looks like in practice:
| Field | Example |
|---|---|
| Invoice number | RE-2026-04851 |
| Invoice date | 23.05.2026 |
| Seller — company | Mueller Maschinentechnik GmbH |
| Seller — VAT ID | DE123456789 |
| Buyer — company | Polska Firma Sp. z o.o. |
| Buyer — VAT ID | PL9876543210 |
| Description of goods | CNC milling machine DMG Mori DMU 50, year 2018 |
| Net amount | EUR 35,000.00 |
| VAT amount | EUR 0.00 |
| Note | "Reverse Charge — VAT liability transferred to recipient per Section 13b UStG" |
If the buyer's VAT ID or the reverse charge note is missing, the German tax authority may retroactively deny the VAT exemption. The seller would then owe 19% German VAT — regardless of what the buyer reported in Poland.
How the Polish buyer books the acquisition
The buyer creates an internal WNT (Intra-Community Acquisition of Goods) entry. The calculation:
- Tax base: EUR 35,000 x NBP exchange rate from the business day preceding the invoice date (e.g., 4.2850 PLN/EUR) = PLN 149,975.00
- Output VAT (tax due): PLN 149,975.00 x 23% = PLN 34,494.25
- Input VAT (deductible): PLN 34,494.25
Net effect: zero PLN payable to the Polish tax authority, provided the machine is used for taxable business activities. The exchange rate comes from the last business day before the invoice date — not the payment date, not the delivery date.
Reporting obligations on both sides
Germany — EC Sales List (Zusammenfassende Meldung):
The seller reports the intra-community supply to the BZSt. Required: buyer's VAT ID, reporting period, taxable base in EUR. Deadline: 25th day after the end of the reporting period.
Poland — JPK_V7M filing:
The buyer enters the WNT in both the declaration section (fields K_23/K_24 for output VAT, K_43/K_44 for input VAT) and the records section with the "WNT" marker.
Poland — VAT-UE summary:
The buyer also files a VAT-UE declaration reporting the intra-community acquisition. Deadline: 25th day of the month following the acquisition.
A missing EC Sales List on the German side can cause the Polish tax authority to question the buyer's WNT declaration. A missing VAT-UE on the Polish side can cause the German tax authority to question the zero-rate supply. Both filings must be in place.
Five common mistakes and how to avoid them
1. Not verifying the VAT ID in VIES. If the buyer's Polish number is inactive, reverse charge does not apply. The German seller owes 19% VAT and has no legal basis for a zero-rate invoice.
2. Missing proof of transport. Without a CMR waybill, carrier's confirmation, or Gelangensbestätigung (arrival certificate), the tax-exempt treatment of the intra-community supply is not secured.
3. Wrong exchange rate in Poland. Using the rate from the invoice date instead of the preceding business day. On a EUR 35,000 transaction, a difference of 0.01 PLN/EUR shifts the tax base by PLN 350.
4. Missing reverse charge note on the invoice. Writing "net without VAT" is not sufficient. The explicit reference to Section 13b UStG or Article 44 of the VAT Directive is mandatory.
5. Late EC Sales List. Delayed filing triggers surcharges on the German side and may prompt inquiries from the Polish tax authority.
How Hutnia secures the transaction for both parties
As a procurement agent for Polish industrial buyers, Hutnia verifies the VAT IDs of both parties in VIES before issuing any offer. We ensure the invoice contains all mandatory fields and coordinate transport with complete CMR documentation.
The result: your accounting department receives a document package that can be booked without follow-up questions — on the German side as well as the Polish side.
Related articles:
- VAT on EU purchase of used machinery
- Checking the invoice for a used machine
Book an initial consultation Step 0 for EUR 49 — fully deductible from the EUR 500 mandate. Schedule now
