Tax Registration Status and EU VAT

We are moving from an upgraded 11i eBiz tax regime (with Tax Groups as Determining Factors and Application Tax Options defaults) to a new tax regime using R12 Tax Rules. Our UK Operating Unit is VAT registered in multiple EU countries. We sell to customers in the UK and Europe that either have a VAT registration number (B2B) or are not VAT registered (B2C). The items we sell are either Standard VAT or Reduced VAT.

I am setting up the Item Category to determine the correct VAT rate (one of the determining factors in the rules). However the issue I have is how to setup the customer. If the customer is in the EU and has a VAT Registration number, then we will charge UK 0% VAT (Intr-EU rules). However if the customer is in the EU (say Germany) but doesn't have a VAT Registration number, then we need to charge German VAT. I believe the only way to get the correct VAT is to assign a Tax Registration Status (i.e. REGISTERED or NOT REGISTERED)