For typical B2B services (business-to-business), the place of taxation is the customer’s country (Art. 28b of the Polish VAT Act). Therefore, a Polish invoice for a company in the EU/Ukraine is usually without VAT (NP) with a note referring to Art. 28b; VAT is accounted for by the buyer in their country (reverse charge = the buyer self-accounts for VAT). Exceptions: B2C services (to consumers) in the EU often go via OSS; “e-services” supplied to Ukraine may require registration and charging 20% VAT in Ukraine (the so-called “Google tax”).
Who is this for?
Marketing/IT/SEO/SEM agencies, software houses, IT freelancers, consultants, providers of SaaS (software as a service) and platform access, and creators of digital content.
Basics: where does VAT “sit” in B2B?
- General rule (B2B, Art. 28b): the place of taxation is the customer’s country.
- Invoicing: rate NP (“not subject” to Polish VAT) + note: “The service is not subject to taxation in Poland – Art. 28b of the VAT Act. Place of taxation: customer’s country.”
Glossary:
- B2B = business-to-business (company to company);
- NP = not subject to Polish VAT;
- reverse charge = the buyer self-accounts for VAT in their country;
- OSS = One-Stop Shop (EU procedure for B2C across multiple EU countries).
Sales from Poland to the EU (B2B)
- Buyer: EU company (has EU VAT ID): invoice NP + note citing Art. 28b; include the buyer’s EU VAT ID (with country prefix). In practice, adding “reverse charge” helps the customer.
- Buyer: EU company without EU VAT ID: Art. 28b still applies, but ask for an EU VAT ID or confirm tax status (to avoid formal issues on the customer’s side).
Reporting: B2B service sales to the EU are reported in JPK_V7 and—where applicable—in the EU Sales Listing (VAT-UE) under “services”. This concerns sales, not purchases.
Sales from Poland to Ukraine (B2B)
- Ukraine = third country (non-EU): invoice NP + note referring to Art. 28b (“place of taxation: Ukraine”).
- Buyer details: it’s useful to add the local tax number (e.g., EDRPOU for a company, RNOKPP for a sole proprietor/FOP).
- On the Ukrainian side: VAT is usually accounted for by the buyer as an import of services (sometimes via a “tax agent” mechanism), even if they are not registered for VAT—details depend on Ukrainian rules and the type of service.
B2C and electronic services (TBE) — exceptions
EU — B2C (consumer)
Telecommunications, broadcasting and electronic services (TBE) are taxed in the consumer’s country (Art. 28k). These are commonly settled via OSS (one EU procedure for multiple countries).
Ukraine — “e-services/Google tax”
If you sell e-services (e.g., platform/SaaS access, digital content, automated online advertising) to individuals or sole proprietors (FOP) who are not VAT payers in Ukraine, a non-resident may be required to register and charge 20% VAT in Ukraine (after exceeding the threshold or voluntarily). This is a different path from classic B2B under Art. 28b.
Tip: For “mixed” contracts (e.g., B2B consulting + B2C platform access), split the lines and apply the correct rules to each component.
Industry-specific exceptions
- Real estate (Art. 28e): place where the property is located.
- Cultural/sporting events (28g), passenger transport: special rules apply.
- Fixed establishment (FE): if the customer’s FE in another country is involved in the purchase, that FE determines the place of taxation.
Examples
- PL agency → TOV (Kyiv) B2B: invoice NP + Art. 28b; the buyer accounts for VAT in Ukraine (import of services).
- PL agency → Berlin startup B2B: invoice NP + Art. 28b + “reverse charge”; the German buyer self-accounts for VAT.
- PL SaaS → consumer in Spain (B2C TBE): Spanish VAT settled via OSS.
- PL e-platform → individual in Ukraine: check obligations in Ukraine (non-resident registration and 20% VAT on e-services).
Export checklist (B2B)
- [ ] Verify the client’s status: business vs consumer; in the EU — EU VAT ID; in Ukraine — EDRPOU/RNOKPP.
- [ ] Determine the service type: standard B2B or e-service/B2C.
- [ ] On the invoice: NP + Art. 28b (in the EU, adding “reverse charge” is helpful).
- [ ] EU: ensure your VAT-UE obligations are met (B2B service sales in the EU Sales Listing).
- [ ] Ukraine: inform the counterparty about their obligations (import of services/tax agent).
Common mistakes
- Adding 23% VAT to a B2B invoice for an EU/Ukrainian company (usually incorrect under Art. 28b → NP).
- Mixing up B2B with B2C (TBE/OSS) and the rules for e-services in Ukraine.
- Not splitting “mixed” services (e.g., consulting vs platform access).
FAQ
Should I always include “reverse charge”?
With EU customers — practically yes (it helps the buyer). For Ukraine, NP + Art. 28b and “place of taxation: customer’s country” is sufficient.
Is an EU VAT ID needed for Ukraine?
No. The EU VAT ID applies only within the EU.
Which currency should I invoice in?
Any (PLN/EUR/USD). Remember to convert for your books using the appropriate rate and tax point date.
Disclaimer
This material is for information only and is not tax advice. Rules may change and require individual interpretation. We strongly recommend consulting your accountant/tax advisor (especially for e-services to Ukraine and OSS).
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