A VAT identification number (VATIN) is an identifier used in many countries, including the countries of the European Union, for value-added tax purposes. It is a unique number that identifies a taxable person (business) or non-taxable legal entity that is registered for VAT. The VAT number is issued by the tax authorities of the country where the business is registered and is used for tax records and payment purposes.
Every VAT identification number must begin with the code of the country concerned and followed by a block of digits or characters. The format of VAT numbers can vary from country to country, but there is one general similarity: it can have between 4 and 15 digits. In the EU, a VAT identification number can be verified online at the EUs official VIES website.
Most businesses (and other persons carrying out an economic activity) need a VAT number. Businesses are obliged to register for VAT when they carry out the supply of goods or services taxed with VAT, or when they make an intra-EU acquisition of goods. A simplified registration (One Stop Shop) is available for businesses supplying telecommunications, broadcasting, and electronic services.
To obtain a VAT number, an application must be submitted to the local tax authorities using the right registration forms. The application should include documentation about the business, evidence of the authority of the legal representative, and detailed information about the planned trading activities.
