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How to book services bought from another EU country
You buy an IT service from a company in another EU country. The invoice is SEK 1,000 without VAT. You report 25% VAT yourself, SEK 250, as both output and input VAT (reverse charge).
How to book it
Invoice methodInvoice method
| Account | Account name | Debit | Credit |
|---|---|---|---|
| 6540 | IT-tjänster (IT services) | 1,000 | |
| 2645 | Beräknad ingående moms på förvärv från utlandet (Calculated input VAT on foreign purchases) | 250 | |
| 2614 | Utgående moms omvänd skattskyldighet 25 % (Output VAT, reverse charge 25%) | 250 | |
| 2440 | Leverantörsskulder (Accounts payable) | 1,000 | |
| Total | 1,250 | 1,250 |
Cash methodCash method
| Account | Account name | Debit | Credit |
|---|---|---|---|
| 6540 | IT-tjänster (IT services) | 1,000 | |
| 2645 | Beräknad ingående moms på förvärv från utlandet (Calculated input VAT on foreign purchases) | 250 | |
| 2614 | Utgående moms omvänd skattskyldighet 25 % (Output VAT, reverse charge 25%) | 250 | |
| 1930 | Företagskonto (Business bank account) | 1,000 | |
| Total | 1,250 | 1,250 |
The tax liability arises when the service is supplied. Make sure the VAT ends up in the right period.
Common mistakes
- Booking the invoice without reverse charge VAT, so the purchase is missing from the VAT return.
The UNIKBOK accounting software has a ready-made template for services bought from another EU country. Take a photo of the document, and the software suggests the accounts, VAT and journal entry for you.