> For the complete documentation index, see [llms.txt](https://docs-vnext.kiflo.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs-vnext.kiflo.com/partner-incentives/invoicing-payment-details/eu-vat-management-for-self-invoices.md). # EU VAT Management for Self-Invoices Kiflo calculates and adds EU VAT automatically to all invoices generated on behalf of partners. {% hint style="info" %} **Kiflo Plans** This functionality is available for *Plus* and *Premier* plans. {% endhint %} ## Who is it for? Automatic EU VAT management is for any **EU-based company** that: * Pays commissions to partners * Uses the [self-invoicing feature](/partner-incentives/invoicing-payment-details/how-to-configure-self-invoicing-self-billling.md) to let Kiflo generate invoices * Has partners in the EU If one of the above statements is false, you probably don't need EU VAT management. ## How does Kiflo calculate EU VAT? Kiflo collects VAT IDs and billing details from partners. VAT IDs are validated automatically to ensure partners provide valid information. When Kiflo generates invoices for partners, based on your country and the country of the partner to pay, the following rules apply: * **Collect VAT**: If both parties are in the same EU country with a valid VAT ID, Kiflo uses the VAT rate of the country and adds VAT to the invoice. * **Reverse charge**: If both parties are in different EU countries and have provided a valid VAT ID, no VAT is added to invoices, and the following legal mention is present in the footer: "*Reverse charge – Article 196 of Directive 2006/112/EC*". * **No VAT**: If one of the parties is not in an EU country, no VAT is applied, and no footer is added. ## How to configure automatic EU VAT management? EU VAT management is automatically enabled when you configure self-invoicing. Refer to this article to understand how to enable self-invoicing: [How to configure self-invoicing?](/partner-incentives/invoicing-payment-details/how-to-configure-self-invoicing-self-billling.md) --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://docs-vnext.kiflo.com/partner-incentives/invoicing-payment-details/eu-vat-management-for-self-invoices.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.