Eu Vat

Discussion in 'Payments processing' started by claridgep, May 27, 2003.

  1. claridgep

    claridgep Guest

    Alex,

    How do I set the tax for European VAT?

    Do I really have to go through all the EU countries and set each individual tax rate to the same 16% (Germany)?

    Thanks,

    Peter
  2. alex-adm

    alex-adm Guest

    Peter, yes.

    I would accept any suggestions how it may be improved.
  3. claridgep

    claridgep Guest

    Alex,

    I manually entered all 15 countries that require my German 16% VAT... but I don't see any reference to it on 2CheckOut sign-up pages!

    Am I missing something?

    Also, wouldn't it be possible to have 'EU' as a listed country, and the value being set globally?

    Peter
  4. alex-adm

    alex-adm Guest

    Yes, it is good idea to have EU listed as country in tax settings - thank you!

    Tax will not be displayed in 2Checkout as separate item. It is possible only if you use shopping cart, built in 2Checkout.
    Unfortunately, it is impossible to pass TAX value to 2Checkout from script.
    Ask 2Checkout guys, possible they may suggest something.
  5. claridgep

    claridgep Guest

    Ok I will contact 2CheckOut, but my problem is that the gross price doesn't change either.
    i.e. NO tax is being added!

    Thanks,

    Peter
  6. alex-adm

    alex-adm Guest

    Oh, Peter, then there is nothing to contact 2Checkout.
    May I have look?
    Have you option '"Use Address Info" enabled in aMember? Else it will be unable to know customer country
    and sure, no tax will be added.
  7. tomfra

    tomfra Member

    Joined:
    Dec 21, 2006
    Messages:
    199
    OK, it's an old thread but here is my comment anyway ;)

    I believe that if you are a EU-based entity and sell "through" 2checkout, you do not add the EU VAT to such sales. The EU VAT is added only when you are an EU based business entity and sell to a EU based customer or a EU based but non-VAT registered business entity.

    In case of 2CO the situation is very different though. 2CO is, technically, not a payment processing company but a "reseller". So in other words, you sell your product/service to 2CO which is a US-based company and they then resell it to the final customer.

    A lot of the 3rd party processing companies do it this way. So in other words, when you are selling through 2CO and are a EU entity, you add no VAT because you are selling your stuff to a US business customer.

    I am not a lawyer nor am I an accountant but I pretty much believe it does work this way.

    Tomas

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