Subtopic: does OSS even apply to you?
| Your customer | Rule | OSS? |
|---|---|---|
| Business with a valid EU VAT ID | Reverse charge: you charge no VAT, both VAT IDs go on the invoice, and a reverse-charge note | No |
| Consumer (no VAT ID) buying digital services | Destination-country VAT once you pass the threshold | Yes, if you choose OSS |
| Consumer buying other services | Different place-of-supply rules; OSS covers only supplies taxable in the customer's country | Usually not |
Several sources agree that a valid VAT number is your evidence of a B2B sale. Without one, treat the customer as a consumer. Check the number in VIES first.
OSS basics
- Threshold: a single EU-wide €10,000 net per year for cross-border B2C telecom, broadcasting, and electronic (TBE) services plus distance sales of goods, combined across all countries. It applies only to EU-established businesses. Below it, you may charge home-country VAT. Above it, you must charge the customer’s country rate.
- Voluntary scheme: OSS lets you file one quarterly return in your own country instead of registering in every Member State. Quarterly returns are required even when you made no sales, so file nil returns.
- Records: one source says keep them for ten years.
- Evidence: keep two non-contradictory pieces of customer-location evidence per sale (for example billing address plus IP address).
- Penalties: one source warns that repeated late payments can get you excluded from OSS.
Invoicing under OSS
One source says OSS invoices follow your Member State of identification’s rules, and some countries don’t require full B2C invoices. Where you issue one, include your OSS VAT ID, the customer’s country, net amount, VAT rate and amount, total, date, and a sequential number. Verify this against the Commission’s OSS guidance for your country.
Structured e-invoicing is also coming. One source says mandatory intra-EU B2B e-invoicing is planned from about 2030 under Directive (EU) 2025/516, so check your tool’s roadmap.
The tools
Quaderno
Quaderno is built around VAT: it applies the buyer’s local rate, collects location evidence, and produces OSS reports by country and rate. One comparison says it supports both Union and non-Union OSS and can file returns for you, which Stripe Tax doesn’t offer. Pricing is reported from about €29–49 a month, and sources disagree, so check its site. It works best when you sell through Stripe, Paddle, or similar checkouts.
Good for: Freelancers selling digital products or services to consumers across the EU.
Stripe Tax (with Stripe Invoicing)
Stripe Tax calculates OSS-relevant VAT. It doesn’t submit your OSS return, so you file it yourself. A competitor’s comparison puts the price at 0.5% per transaction, and one source says it works with Stripe Invoicing.
Good for: Freelancers who already take payments through Stripe.
Zoho Invoice
Zoho Invoice is free, with an annual invoice cap that varies by source (500 to 1,000). It supports reverse-charge notes and VIES validation, but one source rates its OSS support as partial. That makes it a better fit for B2B invoicing than for full B2C OSS work.
Good for: Freelancers mostly billing EU businesses who need clean reverse-charge invoices.
Quick comparison
| Tool | Reverse charge / VIES | OSS rates and reports | Files OSS for you | Price (as reported) |
|---|---|---|---|---|
| Quaderno | Yes | Yes, by country and rate | Optional (vendor-side claim) | ~€29-49/month |
| Stripe Tax | Yes | Calculation | No | ~0.5% per transaction |
| Zoho Invoice | Yes | Partial | No | Free, capped |
Pricing and limits change often, so confirm them on each provider’s site.
Which one should you choose?
- Selling digital products or services to EU consumers: Quaderno.
- Already on Stripe: Stripe Tax, and plan to file OSS yourself.
- Mostly B2B with occasional consumer sales: Zoho Invoice, plus a plan for OSS if you pass €10,000.
- Below €10,000 in cross-border B2C: home-country VAT may be enough, so confirm with an advisor.
- German Kleinunternehmer: the EU exemption works differently. See our Kleinunternehmerregelung guide.
FAQ
Do I need OSS for B2B invoices?
No. B2B services to VAT-registered EU businesses use the reverse charge outside OSS.
Does an invoicing tool file my OSS return?
Mostly no. Tools calculate and report, and you or your accountant submit the quarterly return. Quaderno says it can file for you, so confirm that.
Is OSS mandatory?
No. Above the threshold, charging destination VAT is mandatory. OSS is the simplified way to report it.
What if I’m outside the EU?
Non-EU businesses use the non-Union scheme and the €10,000 threshold doesn’t apply to them.
Sources: European Commission OSS guide, Commission explanatory notes, Your Europe: OSS, Deloitte Ireland, Eurofiscalis, GoodVAT: Stripe Tax vs Quaderno, Jobbers EU invoicing tools
Last updated: October 2026. This post is for informational purposes only and isn’t tax advice. VAT rules differ by country, so consult a licensed tax advisor in your Member State for your situation.
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