Do I charge VAT to a German company for a service from Bulgaria?

Under the general rule, no. You invoice without VAT under Art. 21(2) of the Bulgarian VAT Act with the wording “Reverse charge”, and the client accounts for VAT in Germany.

What does a reverse charge invoice have to say?

“Reverse charge / Обратно начисляване”, the legal basis – Art. 21(2) of the VAT Act – and the client’s VAT number.

Invoicing foreign clients from Bulgaria – VAT and reverse charge

Updated: 29 October 2026

Selling to a client abroad almost always means an invoice without Bulgarian VAT – but you need to state the right legal basis and check the client’s details. These are the most common cases.

Services to an EU business

When you supply a service to a VAT-registered business in another EU country, under the general rule the place of supply is the client’s country. You do not charge Bulgarian VAT; the client accounts for it at home (reverse charge).

Rate: no VAT.
Legal basis: Art. 21(2) of the Bulgarian VAT Act.
Invoice wording: “Reverse charge / Обратно начисляване”.
Required: the client’s VAT number.
Report the supply in the VIES return for that month.

Goods to an EU business

Goods shipped to a VAT-registered client in another EU country are an intra-Community supply at a zero rate under Art. 7 of the VAT Act. Keep proof of transport, such as CMR consignment notes.

Clients outside the EU

Services to businesses outside the EU are, under the general rule, also invoiced without Bulgarian VAT under Art. 21(2). Exports of goods outside the EU are zero-rated under Art. 28 and proven with a customs declaration.

There are exceptions, such as services related to property in Bulgaria or services to private individuals. When in doubt, ask an accountant.

Check the VAT number in VIES

Open the European Commission’s VIES service.
Pick the country and enter the client’s VAT number.
Keep the result – it proves you checked the client on the date of the transaction.

Which language should the invoice be in?

Your Bulgarian bookkeeping needs a document in Bulgarian and your client expects English. A bilingual invoice covers both in one document – see the guide to invoices in English.

Invoicing abroad with Bivoyce

Bilingual invoices in Bulgarian and English.
VAT exemption grounds picked from a list and printed in both languages.
Any currency – EUR, USD and more.

Frequently asked questions

Do I charge VAT to a German company for a service from Bulgaria?: Under the general rule, no. You invoice without VAT under Art. 21(2) of the Bulgarian VAT Act with the wording “Reverse charge”, and the client accounts for VAT in Germany.
What does a reverse charge invoice have to say?: “Reverse charge / Обратно начисляване”, the legal basis – Art. 21(2) of the VAT Act – and the client’s VAT number.

This guide is general information, not tax or legal advice. For your specific case, consult an accountant.