If we are talking about B2B services provided from a US supplier to a EU customer then the US is exporting services (which is VAT excluded) but the EU customer should register the invoice and pay the local VAT. If such VAT is deductible you will have double movement: VAT debt for X, VAT credit for X = no payments.
This does not mean that the transaction becomes vat exempt but just that it︀ is fully deductible. Should the customer's tax authority not recognize the right to deduct, the︁ EU customer should pay VAT on imported services.
This is what I understood reading VAT︂ law in EU and non EU countries.
This does not mean that the transaction becomes vat exempt but just that it︀ is fully deductible. Should the customer's tax authority not recognize the right to deduct, the︁ EU customer should pay VAT on imported services.
This is what I understood reading VAT︂ law in EU and non EU countries.
