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Tycho  
#1 Posted : Thursday, March 9, 2017 4:20:13 PM(UTC)
Tycho

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The tax exempt is not according to EU rules.
What is according to EU rules:
VAT should not be calculated when:
- The customer is a company
- The selling and buying company are within EU
- The delivery is in another country than the selling company

When you activate the tax exempt and remove your own country from the country list, this is not sufficient.
Because of 2 reasons.
1. The tax exempt looks at the 2 letters of the VAT number. If you use anything else than the correct number, VAT is not calculated. In reality people often forget the country code and just use the numbers
2. When a company or the invoice address is in another country, but the service/product is delivered within your own country, the customer still needs to pay the VAT.

So, the easiest way is to remove the VAT when
1. The VAT number has a value (as a company you're obligated to verify whether this is a correct number)
2. The country of the shipping address is in the EU country code list (NB backoffice - tax)
3. The country of the shipping address is not the country of the webshop

Kind regards
Tycho
Tycho  
#2 Posted : Wednesday, March 22, 2017 10:18:13 AM(UTC)
Tycho

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Addition: the calculation should be done after altering the value of the VAT number instead of a 'recalculate' button
What happens now is that on a regular basis VAT is not calculated where it should. This happens because:
- People start with a VAT number that doesn't calculate VAT, press recaculate, change the VAT number to the correct one (and VAT should be calculated), don't recalculate but place the order.

Another thing: people start with a space sometimes which is not recognized as a country that needs VAT.
leedavi  
#3 Posted : Monday, March 27, 2017 2:41:59 PM(UTC)
leedavi

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I can see you point on the counry code, the reason for this is becuase although by defaut the address is now a drop down for countries, it didn't use to be and was simply free text.

As for delivery being in the same country and the invoice going outside the country. I'm no expert on tax, so I'm willing to belive that! Have you go a link to that tax rule?


The VAT recalculation is done regardless if the cleint clicks the "recalc" button, the recalc button is simply there to allow them to see the recalc before processing.
Tycho  
#4 Posted : Tuesday, March 28, 2017 8:12:41 AM(UTC)
Tycho

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If you sell goods to another business and these goods are sent to another EU country, you do not charge VAT - if the customer has a valid VAT number.
http://europa.eu/youreur...ross-border/index_en.htm

leedavi  
#5 Posted : Friday, March 31, 2017 7:44:23 AM(UTC)
leedavi

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Hi Tycho,

I read that and it seems to match what NBS tax rules are doing already?
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