New VAT check will help validate clients
Accountants will be able to check the validity of their clients' customers' VAT identification numbers via the internet through a new service launched by the European Commission.
It provides access to the VAT Information Exchange System database free of charge, which should speed up verification procedures, saving time and money for accountants and businesses. They will not, however, be able to see any of the other VIES information used by member states’ taxation authorities.
Under EU rules, a trader can supply a registered customer in another member state with goods and services without paying VAT, but if the customer is not registered, the supplier may have to pay.