VAT identification number is a unique number identifying a taxable person (business) or non-taxable legal entity registered for VAT.

Who needs it?

It is necessary for all Croatian taxpayers to be able to operate on the common market or acquire goods and receive or perform services within the EU.

It is allocated by the tax administration and exchanged with other Member States through the VIES (VAT Information Exchange System).

The VAT identification number will be assigned to the following taxpayers:

• a domestic taxpayer entered in the register of VAT payers who performs transactions within the European Union,
• a domestic taxpayer who supplies goods or provides services without the right to withholding tax and a legal entity that is not a taxpayer, and are obliged to pay VAT on the acquisition of goods within the European Union or have opted for the possibility to pay VAT on acquisition regardless exceeded the acquisition threshold in the amount of HRK 77,000.00,
• any taxpayer who acquires goods within the European Union in the home country for the purpose of conducting economic activity in a territory other than the home country,
• to the domestic taxpayer to whom the services were performed and who is obliged to pay VAT on the received service,
• a domestic taxpayer providing services in the territory of another Member State for which the recipient of the service in another Member State is obliged to pay VAT,
• a foreign taxpayer who performs supplies of goods and services with the right to deduct the input tax at home,
• to a foreign taxpayer who delivers goods to persons who are not liable to pay VAT on acquisition and has exceeded the delivery threshold in the amount of HRK 270,000.00 or has waived the specified delivery threshold,
• to a foreign taxpayer who supplies goods subject to excise duties, to persons who are not taxpayers or pay VAT on acquisition.

Taxpayers operating in the common EU market must apply for a VAT number and state the reason for requesting the VAT number. Taxpayers who have been assigned a number are considered monthly taxpayers, which means that their accounting periods from the first to the last day of the month, i. e. value added tax returns are required to be submitted monthly.

What does it take to assign a VAT number?

• Application for registration for value added tax purposes
• List of documents and instructions for determining and assigning a personal identification number (OIB) for foreign and natural legal entities, and a request for determining and assigning an OIB
• Questionnaire for assigning a VAT ID number

How can we request it?

VAT ID number can be requested in three ways:

• personally with a tax reference in the competent tax office,
• through the e-Tax system with a security level 3 credential,
• by post recommended with the indication on the consignment “for the allocation of VAT ID number”.

Validity of VAT identification number

Possession of a valid VAT identification number is a precondition for business operations on the common market, and verification can be done on the EU Commission’s website through the VIES it database (VAT information Exchange system).

The VAT identification number shall contain the personal Identification Number (OIB) to which the sign „HR“is added.

It has the same structure as the EORI number, but the difference is that the EORI number is assigned by the Customs Administration and the VAT number by the tax Administration. It is important that it be assigned by the tax Administration because it is thus entered into the VIES database.

Is the same VAT number used in all EU countries?

No, every state issues its national VAT number, and the way they look in other countries you can see here. Each VAT identification number begins with a country code, followed by a block of digits or signs.

This means that companies delivering goods or services in several EU countries should receive a VAT number in each of these countries.

Sources:

• https://www.ijf.hr/upload/files/file/PV/2013/6/kalcic-cvitic.pdf
• http://infos.hok.hr/faq/c_porezi_i_carine/c3_pdv/sto_je_pdv_identifikacijski_broj_i_kako_se_dobiva
• https://www.ucionica.net/savjeti/sto-je-vat-id-kada-ga-koristiti-i-cemu-sluzi-8955/
• https://ec.europa.eu/taxation_customs/vat-identification-numbers_en
• https://www.porezna-uprava.hr/PdviEu/Stranice/Provjera-PDV-identifikacijskog-broja.aspx
• https://ec.europa.eu/taxation_customs/system/files/2016-09/vat_in_ec_annexii.pdf