I own a limited company, which hasn't been registered for VAT in the UK as it hasn't reached the threshold.
Company made a sale to EU VAT registered business and supplied services.
Now EU company asks me for VAT invoice, stating that every company which makes a trade has to be registered.
Under Article 214 of EU legislation:
It says that: In practice, a taxable person is generally a business, sole trader or professional. With this status, they are responsible for charging, collecting and paying VAT to the tax authorities, and documenting all this in a VAT return.
There is nothing there about the threshold.
I believe I'm non-taxable person as per UK gov website:
Number 6: businesses which are not registered for VAT because their turnover is below the registration threshold, or their activities are entirely exempt from VAT
How should I treat it/respond to my customer?