- How do I create a service?
- Save product without shipping dimensions
- Configuring service articles correctly for tax purposes
- What is the ‘Service’ product type?
- Enable reverse charge for services
How to configure consultancy, installation and repair hoursClassify a product as a service
In this guide, you will learn how to label products that are not physical goods. Whether it’s consultancy, installation or repair work – services require different system settings to traditional items sent by post.
Changing the product type offers two key benefits:
- Automated VAT: The system recognises the sale as a service and automatically applies the correct rules for cross-border transactions (e.g. the reverse-charge mechanism).
- Clear interface: Unnecessary fields such as shipping dimensions or item condition are hidden, which speeds up data maintenance.
How to configure products as a serviceSchritt-für-Schritt zur korrekten Steuerabrechnung
This guide provides detailed instructions on configuring service-based products and their tax implications. Find out how to record your expertise in the system in a legally compliant manner and ensure correct billing for customers both at home and abroad.
-
Change the product type to ‘service’ in the master data
Open the Product Editor for a new or existing product. Go to the section for basic data (master data). In the product type field, select the ‘Service’ option. Note: As soon as you select this, fields that are only relevant for physical goods – such as condition (new/used) and packaging dimensions – will be automatically hidden.
-
Save this product
Click on the ‘Save’ button. The product is now permanently stored in the system as a service. This has a significant impact on how the product is handled in orders and invoices.
-
Check invoicing for EU business customers
If you add this product to an invoice for a business customer in another EU country (with a VAT number on file), the item is automatically recognised as a service. The system adds the legal notice regarding the ‘reverse charge’ procedure to the invoice. In the e-invoice, the item is correctly reported with the code ‘AE’ (reverse charge).
-
Checking services in the order editor
When you add the product to an order in the order editor, the service type ‘Service’ is displayed there. You can still amend this type for this specific order if required. When you create an invoice from this order, the type ‘Service’ is carried over exactly as it is into the invoice line item.
-
Check invoices for customers outside the EU
Add the product to an invoice for a customer outside the EU. The system automatically adds the legal note ‘not subject to tax in Germany’ for services. In the e-invoice, the item is shown as not subject to VAT (code O).
Further information on service managementPro tips and important advice
Services are not usually stock items. You should therefore also deselect the ‘Stockable’ option in the product settings to avoid error messages during stock checks.
Please note the tax classification: digital products and events are also treated as services for the purposes of calculating VAT. This ensures that the correct rules, such as the reverse-charge mechanism, are applied to cross-border sales.
If you change the product type of an existing item (e.g. from ‘Service’ back to ‘Physical Product’), this will not affect invoices that have already been created. Existing documents retain their original status and the tax treatment applicable at the time they were created.
You can use the XML import for bulk updates to your catalogue. To assign the ‘Service’ type, use the following XML tag: <productType>service</productType>.