Billing Vat set up question
We have some issue with the Billing Vat set up and have some question. Here is the scenario
We have a Billing BU in one EU country (say France) and it is issuing an invoice to a customer in another EU country (say Germany). In this case VAT is not applied to the invoice if we have the customers VAT Certificate Number on file. If we don't have the Certificate Number on file, they VAT is applied as if the customer was in the billing country.
So the question is, how does the system know that Germany and France are both a part of the EU and that this Certificate logic applies? And how do we set it up so that it applies to a new country that is joining the EU - let say a new country Croatia? How the grouping of the European nation is set up in the system.