EU VAT Rates 2026: Complete Guide for All 27 Member States
Value Added Tax (VAT) rates vary significantly across the European Union, from 17% in Luxembourg to 27% in Hungary. If you sell products or services to EU customers, knowing the correct rates is essential for compliance.
Here’s the complete breakdown for 2026, including recent changes.
Standard VAT Rates by Country (2026)
| Country | Standard Rate | Reduced Rate(s) | Super-Reduced |
|---|---|---|---|
| Austria | 20% | 10%, 13% | — |
| Belgium | 21% | 6%, 12% | — |
| Bulgaria | 20% | 9% | — |
| Croatia | 25% | 5%, 13% | — |
| Cyprus | 19% | 5%, 9% | — |
| Czech Republic | 21% | 12% | — |
| Denmark | 25% | — | — |
| Estonia | 24% | 9% | — |
| Finland | 25.5% | 10%, 14% | — |
| France | 20% | 5.5%, 10% | 2.1% |
| Germany | 19% | 7% | — |
| Greece | 24% | 6%, 13% | — |
| Hungary | 27% | 5%, 18% | — |
| Ireland | 23% | 9%, 13.5% | 4.8% |
| Italy | 22% | 5%, 10% | 4% |
| Latvia | 21% | 5%, 12% | — |
| Lithuania | 21% | 5%, 9% | — |
| Luxembourg | 17% | 8% | 3% |
| Malta | 18% | 5%, 7% | — |
| Netherlands | 21% | 9% | — |
| Poland | 23% | 5%, 8% | — |
| Portugal | 23% | 6%, 13% | — |
| Romania | 19% | 5%, 9% | — |
| Slovakia | 23% | 5% | — |
| Slovenia | 22% | 5%, 9.5% | — |
| Spain | 21% | 10% | 4% |
| Sweden | 25% | 6%, 12% | — |
Recent Changes (2025-2026)
Several EU countries adjusted their VAT rates recently:
Estonia: 22% → 24% (January 2026)
Estonia increased its standard rate by 2 percentage points to help close its budget deficit. This is one of the largest single increases in recent EU history.
Finland: 24% → 25.5% (September 2024)
Finland raised its standard rate from 24% to 25.5%, making it one of the highest in the EU alongside Denmark and Sweden.
Romania: 19% → 21% (planned)
Romania has signaled a potential increase to 21% as part of fiscal consolidation measures.
Slovakia: 20% → 23% (January 2025)
Slovakia raised its standard rate significantly and introduced a reduced 5% rate.
How VAT Works for Digital Products
If you sell digital products (SaaS, downloads, online courses) to EU consumers, you must charge VAT at the customer’s country rate, not your own.
This means:
- A sale to a German customer: 19% VAT
- A sale to a Hungarian customer: 27% VAT
- A sale to a Luxembourg customer: 17% VAT
The OSS (One-Stop Shop) Scheme
Instead of registering for VAT in every EU country where you have customers, you can use the OSS scheme:
- Register for OSS in your home country
- Charge the correct VAT rate for each customer’s country
- File a single quarterly VAT return covering all EU sales
- Pay all EU VAT to your home country’s tax authority, which redistributes it
Threshold: If your cross-border B2C sales to EU consumers exceed €10,000/year, you must use either OSS or register in each country.
How to Determine the Customer’s Country
For VAT purposes, you need to identify where your customer is located. The EU requires two pieces of non-contradictory evidence, such as:
- Billing address
- IP geolocation
- Bank country (from payment method)
- Country code of the SIM card (for mobile)
Most payment processors (Stripe, Paddle) handle this automatically and provide the necessary evidence.
B2B vs. B2C: The Reverse Charge
If your customer is a business with a valid VAT ID, you don’t charge VAT. Instead, the business accounts for VAT themselves through the reverse charge mechanism.
To verify a VAT ID, use the VIES validation service — it checks the number against the official EU database in real time.
VAT for Small Businesses
Some countries offer VAT exemptions for small businesses below a revenue threshold:
| Country | Small Business Threshold |
|---|---|
| Germany | €22,000/year |
| France | €36,800/year (services) |
| Italy | €85,000/year (forfettario) |
| Netherlands | €20,000/year |
| Ireland | €40,000 (services), €80,000 (goods) |
If you’re below the threshold in your home country, you may be exempt from charging VAT on domestic sales — but cross-border digital sales to consumers still require VAT via OSS.
Tools for VAT Compliance
- euvat.dev — Free VAT calculator with VIES validation and rates for all 27 countries
- Stripe Tax — Automated tax collection and remittance
- Paddle — Merchant of record (handles VAT entirely)
- Taxjar / Avalara — Tax compliance platforms for larger businesses
Key Takeaways
- Always check the current rate — VAT rates change more often than you’d expect (3 countries changed in the last 12 months)
- Digital products use the customer’s rate — not your home country’s rate
- Use OSS if cross-border B2C sales exceed €10,000/year
- Validate VAT IDs for B2B transactions to apply the reverse charge correctly
- Keep records — The EU requires you to store VAT evidence for 10 years
Use euvat.dev to quickly calculate VAT for any EU country, validate VAT numbers, and look up current rates — all for free.
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