The latter is mandatory when a company is liable for VAT or has to fulfill some reporting requirements in a Member-State.
THE TAX REPRESENTATIVE FOR COMPANIES NON ESTABLISHED IN THE EUROPEAN UNION
After registering the foreign company, the tax representative must fulfill his accounting, tax and reporting obligations. It is the guarantor of tax compliance and accounting of the foreign taxable person. He is therefore liable in the event of non-compliance with these obligations and the declared transactions (including those of which he was not aware).
The obligation to appoint a tax representative is not required in all European Union countries.
TAX AGENT FOR COMPANIES ESTABLISHED IN A MEMBER-STATE OF THE EUROPEAN UNION
An enterprise established in a Member State of the European Union can appoint a tax agent, if it carries out a transaction in another Member State. The tax agent will then be in charge of carrying out all or part of the declaratory and payment formalities.
The main difference with the tax representative is that the tax agent acts only under the responsibility of his principal. He can not, on the contrary of the tax representative, be designated as a pecuniary person. The principal company is the only one liable for the tax.
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