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Explanation: Normally, VAT rules prescribe that the place of supply is the place where the supplier's business is established. However, in respect of certain taxable supplies, VAT rules state that the place of supply must or may be somewhere else. Hence the VAT liability may shift from one country to another. This is commonly referred to as a 'reverse charge mechanism'.
-> "The change results in services accounted for via the ‘reverse charge’ or ‘tax shift’ having different cash flow implications from domestic supplies on which, generally, VAT is charged by the supplier and recovered by the customer." http://www.tax.org.uk/showarticle.pl?id=1851
-> "Calculating VAT: rates and exemptions or reverse-charge
If you supply goods or render services in the Netherlands, you are not always required to charge VAT. If an exemption or reverse-charge mechanism applies, you do not have to charge VAT. The applicability of an exemption or a reverse-charge mechanism should be clear based on the invoice relating to the activity. If you have to charge VAT, one of three different VAT rates will apply." http://www.belastingdienst.nl/buitenland_uk/buitenland_uk-33...
Where a supplier provides electronic services to an entrepreneur based in the EU, the VAT is levied from the entrepreneur consuming the services. In that case, the supplier is not allowed to charge VAT. The consumer of the services owes VAT at the rate applicable in the Member State where he is based.
Explanation: Normally, VAT rules prescribe that the place of supply is the place where the supplier's business is established. However, in respect of certain taxable supplies, VAT rules state that the place of supply must or may be somewhere else. Hence the VAT liability may shift from one country to another. This is commonly referred to as a 'reverse charge mechanism'.
-> "The change results in services accounted for via the ‘reverse charge’ or ‘tax shift’ having different cash flow implications from domestic supplies on which, generally, VAT is charged by the supplier and recovered by the customer." http://www.tax.org.uk/showarticle.pl?id=1851
-> "Calculating VAT: rates and exemptions or reverse-charge
If you supply goods or render services in the Netherlands, you are not always required to charge VAT. If an exemption or reverse-charge mechanism applies, you do not have to charge VAT. The applicability of an exemption or a reverse-charge mechanism should be clear based on the invoice relating to the activity. If you have to charge VAT, one of three different VAT rates will apply." http://www.belastingdienst.nl/buitenland_uk/buitenland_uk-33...
Chris Hopley Netherlands Local time: 05:18 Specializes in field Native speaker of: English PRO pts in category: 43
Grading comment
Thanks Chris (and you, too, Kate!). Think I'll opt for Chris' answer.
The translation workplace 
peer agreement (net): +2
