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x402

EU VAT for x402 machine payments

x402 proves settlement. VAT requires commercial and fiscal context. Fiscal402 sits after settlement: global events, explicit coverage, EU VAT for qualifying corridors including US sellers into Europe.

x402 VAT is a search phrase for a real gap. x402 moves USDC. European VAT is a tax on a supply, not on a hash. The two layers do not substitute for each other.

What x402 proves

What VAT requires that x402 does not carry

Where Fiscal402 sits

Fiscal402 is post-settlement. After x402 has already settled, a merchant or agent posts settlement evidence plus commercial context. Fiscal402 persists a fiscal event, runs the EU VAT engine where the corridor is in scope, emits UBL 2.1, and signs fiscal402.receipt/1.0.0.

  1. x402 settlement
  2. Fiscal402
  3. EU VAT determination
  4. UBL 2.1
  5. fiscal402.receipt

Identity split

Payer and payTo wallets are payment identity. They are not legal persons, VAT registrations, or establishments. Buyer country is merchant-attested (consumerCountry), not inferred from IP or the chain. Fiscal402 records IP/wallet signals as provenance only.

Place of supply, B2B/B2C, VIES

For B2C electronic services the production engine uses destination member-state standard rates (OSS). For intra-EU B2B with an accepted VAT ID it records reverse charge. VIES is stored as a status and a hash of the VAT ID — not the raw number. Unconfirmed IDs are not silently reverse-charged.

What you get

Ingest (after settlement)

POST /settlements

POST https://api.fiscal402.com/settlements
Content-Type: application/json
X-Fiscal402-Key: $FISCAL402_API_KEY
Idempotency-Key: acme-nl-de-1

{
  "amountUsdc": "1.00",
  "txHash": "0xYOUR_SETTLED_TX",
  "timestamp": "2026-09-10T12:00:00.000Z",
  "payerWallet": "0xPAYER",
  "receiverWallet": "0xPAY_TO",
  "network": "eip155:1",
  "asset": "USDC",
  "scheme": "exact",
  "consumerCountry": "DE",
  "consumerName": "Buyer GmbH"
}

FAQ

Does x402 handle VAT?

No. x402 is a payment protocol. It proves that a transfer settled. VAT classification needs seller establishment, buyer status, place of supply, and supply type — facts a wallet and a transaction hash do not carry.

Is a blockchain transaction an invoice?

No. A transaction hash is settlement evidence. An invoice is an accounting document with legal parties, tax treatment, and a currency of account. Fiscal402 can emit UBL 2.1 after settlement; the chain record is not that document.

Can US merchants use Fiscal402 for EU sales?

Yes, for electronic services to attested EU customers. That corridor is in the production EU VAT path (non-Union OSS / Article 196). Fiscal402 does not determine US sales tax on the reverse corridor.

Last updated 13 September 2026