Reverse charge is a tax procedure in which the VAT liability shifts from the service provider to the business recipient. It regularly applies to cross-border B2B ticket sales within the EU and must be correctly indicated on the invoice.
Legal basis (DE): Section 13b UStG
EU basis: VAT Directive Art. 196
Requirement: Valid VAT ID of the recipient
What does reverse charge mean?
In the reverse charge procedure, the VAT liability is reversed: the seller (organizer) does not account for the VAT; instead, the commercial buyer does so in their own country. The invoice does not show any VAT, but instead includes a mandatory reference to the reverse charge mechanism. The buyer accounts for the VAT themselves but can deduct it as input tax in the same transaction – making the procedure generally tax-neutral for them.
This procedure is a key component of payment management for international events.
When does reverse charge apply to conference tickets?
The situation for event tickets is more complex than for standard services. Section 3a UStG is the decisive factor (all information provided here is for informational purposes only and does not constitute legal advice. Please consult a tax advisor for binding guidance):
- Event in Germany, buyer is an EU business customer: For "admission to events," the place of supply principle applies under Section 3a (3) no. 5 UStG – the organizer charges German VAT; reverse charge does not apply.
- Other services related to the event (e.g., consulting services, sponsorship packages, exhibition stands, virtual participation in online events) follow the recipient's location principle under Section 3a (2) UStG – here, reverse charge applies to B2B EU buyers.
- B2C buyers: Reverse charge does not apply; the organizer accounts for VAT in the respective country (possibly via the OSS procedure).
Practical tip: The distinction between "admission" and "virtual participation" has been harmonized across the EU as of 2025 – seek tax advice.
Mandatory invoice details
Reverse charge invoices must include the following information:
- VAT ID of the organizer and the buyer
- Note: "Reverse charge" (or an accepted translation in the invoice language)
- No VAT amount shown – only the net amount is displayed
- Reference to the relevant regulation (e.g., Art. 196 VAT Directive)
Common sources of error
- Invalid VAT ID of the buyer is not verified → tax arrears for the organizer
- Incorrect application to B2C buyers (reverse charge only applies to B2B)
- Missing mandatory note on the invoice → formal objection
- Online events treated like in-person events (or vice versa) – place of taxation may differ
Best practices
- Automatically verify the VAT ID via the VIES system (EU) for every B2B booking. Converia offers an integrated function for this.
- Ensure booking systems like Converia clearly distinguish between B2B and B2C (mandatory VAT ID field)
- Regularly review tax logic with your tax advisor – rules are subject to change
- Maintain mandatory notes in invoice templates for each language
- Archive documentation of the plausibility check (the burden of proof lies with the organizer)
Reverse charge in Converia
During the booking process, Converia automatically verifies the VAT ID of business customers, determines the correct tax treatment for each country, and issues reverse-charge-compliant invoices with all mandatory details – without any manual accounting follow-up.
Legally compliant processing of international B2B ticket sales
With Converia, you automatically issue accurate invoices for every type of buyer – including reverse charge for EU business customers.
- Payment management – Ticketing & registration
- Ticketing system – Ticketing & registration
- Event registration – Ticketing & registration
Automatic VAT ID verification and accurate invoicing for every type of buyer.