Below, we provide a brief explanation of the calculation of the VAT charge on your orders. The VAT tariff is added to the product price exclusive of VAT.
The price exclusive of VAT can be converted into the price inclusive of VAT by applying the following formula.
Calculation rule: (Amount exclusive of VAT) * (100 + VAT percentage as a number) / 100 = Amount inclusive of VAT.
Example: Price exclusive of VAT = €50; VAT tariff = 21%
(Amount exclusive of VAT) * (100 + VAT percentage as a number) / 100 = Amount inclusive of VAT
€50 * (100 + 21) / 100 = €60.50 inclusive of VAT
The price inclusive of VAT can be converted into the price exclusive of VAT by applying the following formula.
Calculation rule: (Price inclusive of VAT ) / ((100 + VAT percentage as a number) * 100) = Price exclusive of VAT
Example: Price inclusive of VAT = €60.50
VAT tariff = 21%
(Price inclusive of VAT) / ((100 + VAT percentage as a number)* 100) = Price exclusive of VAT
€60.50 / ((100 + 21)* 100) = €50 exclusive of VAT
If you specify an inclusive price in product management, the VAT percentage that is used to calculate the exclusive price depends on the default country of the webshop.
The default country is determined based on the following criteria:
* There is only 1 country in the zone management
* The country of the setting `Default selected country in shopping cart` exists in the zone management
* The country under Settings > General data
* The country specified with the account
The exclusive price is then calculated for this country and the specified rate.
This exclusive price will be used as a basis to calculate the new inclusive price, if necessary.
Settings
Settings relating to VAT may be found in various locations in the CCV Shop environment. An overview is provided below.
Amounts inclusive of VAT
You can find this setting at: "Starting point > My Web Shop > Settings > General > General web Shop Settings" (see Figure 1).
Shipping costs including VAT
The Dutch Tax and Customs Administration has required businesses to charge VAT on their shipping costs since 2017. This means that postage charged upon the delivery of goods must be included in the taxable amount. The same VAT tariff applies as in the case of goods.
Note: If you offer products subject to different VAT rates, the highest VAT tariff will apply to the shipping costs.
To realize this, the setting at "Starting point > My Web Shop > Settings > Shipping Costs & Logistics > Shipping Settings" must be set to ‘Yes’.
Display VAT
You can find this setting at: "Starting point > My Web Shop > Settings > Lay-out > Lay-out" (see Figure 2)
You should only set this setting to ‘No’ if you do not wish to display the VAT charge in your web shop.
Country overview
In the country overview, you can indicate for each zone whether or not VAT must be charged and/or if VAT must be reverse-charged. You can find more information in the section entitled ‘Selling products outside the Netherlands’ (see Figure 3).
You can find the relevant setting at "Starting point > My web shop > Settings > Logistics > Country and Zone management"
Product management
You can specify the VAT tariff applicable to each individual product (see Figure 4). See also: VAT Tarrifs – Academy (zendesk.com)
You can find this setting at: Starting point > My Products > Product management > Edit products
Selling products inclusive of VAT
If you sell to consumers, you will want to include VAT in the prices displayed in your web shop. To achieve this, the following settings must be defined as indicated:
"Always show prices with inclusive VAT"
"Starting point > My Web Shop > Settings > General > General Web Shop Settings" (see Figure 5)
(‘Shipping costs including VAT’ set to ‘Yes’)
"Starting point > My Web Shop > Settings > Shipping Costs & Logistics > Shipping Settings" (see Figure 6)
Select the appropriate VAT tariff for each product.
Go to "Starting Point > Product Management> Manage Products > Create or Change Product" (see Figure 7)
Selling products exclusive of VAT
You may also want to display prices exclusive of VAT in your web shop (for instance, if you only supply products business-to-business). In the shopping cart, the total price will be displayed inclusive of VAT.
To display prices exclusive of VAT in your web shop, the following settings must be defined as indicated:
Always show prices exclusive VAT.
Always show prices both inclusive and exclusive VAT.
"Starting point > "My Web Shop > Settings > General > General Web Shop Settings" (see Figure 8)
(‘Shipping costs including VAT’ set to ‘Yes’)
"Starting point > My Web Shop > Settings > Shipping Costs & Logistics > Shipping settings" (see Figure 9)
Selling products without specifying VAT
If you do not want to specify VAT charges in your web shop, you can hide all VAT references. This means that the amounts displayed will not include any references to VAT being included or excluded. To achieve this, you must choose the option: Always show prices exclusive VAT
"Starting point > My Web Shop > Settings > Lay-out > Lay-out" (see Figure 9)
Selling products not subject to VAT
If you sell products that are not subject to VAT (such as second-hand products), you must make this clear in your web shop. The VAT tariff must be set at 0% for each product. In the shopping cart section, this will be reflected in the fact that no VAT is payable.
(‘Shipping costs including VAT’ set to ‘Yes’)
"Starting point > My Web shop > Settings > Shipping Costs & Logistics > Shipping Settings"(see Figure 10)
"Always show prices exclusive VAT"
"Starting point > My Web shop > Settings > Lay-out > Lay-out" (see Figure 11)
Selling products not subject to VAT outside the Netherlands
If you sell products not subject to VAT outside the Netherlands, the settings must be defined as follows. In the bottom section of the country overview, you can see that VAT is charged in the Netherlands. No VAT is payable for orders received from Belgium, Germany and Luxembourg.
('Always show prices with inclusive VAT')
"Starting point > My Web Shop > Settings > Lay-out > Lay-out" (see Figure 12) (‘Shipping costs including VAT’ set to ‘Yes’)
"Starting point > My Web Shop > Settings > Shipping Costs & Logistics > Shipping Settings" (see Figure 13)
"Starting point > My web shop > Settings > Shipping costs & logistics > Country and zone management" (see Figure 14)
Selling products outside the Netherlands and reverse-charging VAT for business customers
If you want to reverse-charge VAT for business orders received from outside the Netherlands, the settings must be defined as follows.
(‘Always show prices with inclusive VAT)
"Starting point > My Web Shop > Settings > Lay-out > Lay-out" (see Figure 15)
(‘Shipping costs including VAT’ set to ‘Yes’)
"Starting point > My Web Shop > Settings > Shipping Costs & Logistics > Shipping Settings (see Figure 16)"
In the example below, the VAT for business customers is reverse-charged for countries in Zone 2. For this purpose, it is important to request a VAT number during the ordering process. You yourself must perform a check to determine if the VAT number is valid. You can do this at: http://ec.europa.eu/taxation_customs/vies/
"Starting point > My Web Shop > Settings > Shipping costs & logistics > Country and Zone Management" (see Figure 17)
Prices both including and excluding show.
If you want to show prices both inclusive and exclusive you choose the following setting. The prices in the backend are treated as excluding prices and the inclusive prices shown to the consumer are calculated using the set VAT rate for the product. An order that is made will also be considered an exclusive VAT order.
For logging in including after logging in excluding
When you want to make a difference in showing VAT by means of a login. Choose this option.
When a consumer is not logged in, prices are included. The backend prices are exclusive and the inclusive prices are calculated according to the set VAT rate for the product.
An order that is made is made including or excluding VAT. It depends whether the consumer is logged in yes or no.
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