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| | | Author: | IKIGAI_BS  | | Posted: | Sep 5, 2023 06:54 | | Subject: | WHEN I should include or exclude VAT? | | Viewed: | 102 times | | Topic: | Taxes | |
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| Hello,
I've just open my store and I have one, maybe stupid, but one question. I
just want to be 100% sure.
I'm a VAT registered EU seller. Base store prices include VAT. Prices shown
to buyers located inside EU include VAT, outside the European Union excluding
VAT depending on the buyer's country. EU buyers with valid VAT ID will be
invoiced without VAT (reverse charge). Everything's correct and I understand.
I undestand too that for orders from US or UK there is a amount of VAT based
on buyers country and additional VAT invoice attached for customs etc. etc. I'm
fine with it too.
BUT...
What if I have orders from buyers outside EU for example from Canada, private
customers, not VAT registered firms and in these cases default Bricklink invoice
is 0% VAT?
Should I check this order tickbox with VAT to include VAT tax or leave excluded
as it is as default? If not, when seller will pay this tax difference? I don't
want to double-tax someone and also I'm not sure if I should sell items with
0% VAT if this is not a VAT registered buyer.
Thank you for your answers!
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| | | | | Author: | IKIGAI_BS | | Posted: | Sep 5, 2023 06:58 | | Subject: | Re: WHEN I should include or exclude VAT? | | Viewed: | 36 times | | Topic: | Taxes | |
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| In Taxes, Sekua writes:
| | Hello,
I've just open my store and I have one, maybe stupid, but one question. I
just want to be 100% sure.
I'm a VAT registered EU seller. Base store prices include VAT. Prices shown
to buyers located inside EU include VAT, outside the European Union excluding
VAT depending on the buyer's country. EU buyers with valid VAT ID will be
invoiced without VAT (reverse charge). Everything's correct and I understand.
I undestand too that for orders from US or UK there is a amount of VAT based
on buyers country and additional VAT invoice attached for customs etc. etc. I'm
fine with it too.
BUT...
What if I have orders from buyers outside EU for example from Canada, private
customers, not VAT registered firms and in these cases default Bricklink invoice
is 0% VAT?
Should I check this order tickbox with VAT to include VAT tax or leave excluded
as it is as default? If not, when seller will pay this tax difference? I don't
want to double-tax someone and also I'm not sure if I should sell items with
0% VAT if this is not a VAT registered buyer.
Thank you for your answers!
|
Correction "If not, when byyer* will pay this tax difference?" 
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| | | | | Author: | TakeAbricK | | Posted: | Sep 5, 2023 07:05 | | Subject: | Re: WHEN I should include or exclude VAT? | | Viewed: | 33 times | | Topic: | Taxes | |
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| In Taxes, Sekua writes:
| | Hello,
I've just open my store and I have one, maybe stupid, but one question. I
just want to be 100% sure.
I'm a VAT registered EU seller. Base store prices include VAT. Prices shown
to buyers located inside EU include VAT, outside the European Union excluding
VAT depending on the buyer's country. EU buyers with valid VAT ID will be
invoiced without VAT (reverse charge). Everything's correct and I understand.
I undestand too that for orders from US or UK there is a amount of VAT based
on buyers country and additional VAT invoice attached for customs etc. etc. I'm
fine with it too.
BUT...
What if I have orders from buyers outside EU for example from Canada, private
customers, not VAT registered firms and in these cases default Bricklink invoice
is 0% VAT?
Should I check this order tickbox with VAT to include VAT tax or leave excluded
as it is as default? If not, when seller will pay this tax difference? I don't
want to double-tax someone and also I'm not sure if I should sell items with
0% VAT if this is not a VAT registered buyer.
Thank you for your answers!
|
All buyers from outside the EU pay VAT themselves and you don't pay VAT on
these sales, for it has already been taken of.
For USA, UK and Australia BrickLink collects VAT, so buyers don't have to
pay it anymore when receiving the order. They already paid.
For all other countries, buyers still have to pay VAT when order is received.
Diana
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| | | | | | | Author: | TakeAbricK | | Posted: | Sep 5, 2023 07:07 | | Subject: | Re: WHEN I should include or exclude VAT? | | Viewed: | 34 times | | Topic: | Taxes | |
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| In Taxes, TakeAbricK writes:
| | In Taxes, Sekua writes:
| | Hello,
I've just open my store and I have one, maybe stupid, but one question. I
just want to be 100% sure.
I'm a VAT registered EU seller. Base store prices include VAT. Prices shown
to buyers located inside EU include VAT, outside the European Union excluding
VAT depending on the buyer's country. EU buyers with valid VAT ID will be
invoiced without VAT (reverse charge). Everything's correct and I understand.
I undestand too that for orders from US or UK there is a amount of VAT based
on buyers country and additional VAT invoice attached for customs etc. etc. I'm
fine with it too.
BUT...
What if I have orders from buyers outside EU for example from Canada, private
customers, not VAT registered firms and in these cases default Bricklink invoice
is 0% VAT?
Should I check this order tickbox with VAT to include VAT tax or leave excluded
as it is as default? If not, when seller will pay this tax difference? I don't
want to double-tax someone and also I'm not sure if I should sell items with
0% VAT if this is not a VAT registered buyer.
Thank you for your answers!
|
All buyers from outside the EU pay VAT themselves and you don't pay VAT on
these sales, for it has already been taken of.
For USA, UK and Australia BrickLink collects VAT, so buyers don't have to
pay it anymore when receiving the order. They already paid.
For all other countries, buyers still have to pay VAT when order is received.
Diana
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It's just like the other way around. If you buy from a country outside the
EU, you will have to pay Polish VAT when it arrives.
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| | | | | | | Author: | SylvainLS | | Posted: | Sep 5, 2023 07:30 | | Subject: | Re: WHEN I should include or exclude VAT? | | Viewed: | 35 times | | Topic: | Taxes | |
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| In Taxes, TakeAbricK writes:
| | […]
All buyers from outside the EU pay VAT themselves and you don't pay VAT on
these sales, for it has already been taken of.
For USA, UK and Australia BrickLink collects VAT, so buyers don't have to
pay it anymore when receiving the order. They already paid.
For all other countries, buyers still have to pay VAT when order is received.
Diana
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Precision that may help clear the confusion:
It’s not always “VAT.”
It’s “Sales tax” in the USA and “GST” in Australia and “GST/PST/HST” in Canada,
etc.
And even when it’s called “VAT” it’s “specific-country-VAT,” not the EU VAT you’re
registered to collect.
IOW: you never collect taxes for a country (or tax zone, like EU) unless you’re
registered in that country.
You’re not registered in Canada, you don’t collect Canada’s taxes and you don’t
charge EU taxes to Canadian buyers.
For countries like the USA, Australia and UK, it’s BL that’s registered and that
collects the taxes. Your only involvement is that you may have to join papers
to prove that. But you’re not involved in the taxes.
TL;DR: not your country/EU, not your taxes.
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| | | | | Author: | peregrinator | | Posted: | Sep 5, 2023 07:13 | | Subject: | Re: WHEN I should include or exclude VAT? | | Viewed: | 29 times | | Topic: | Taxes | |
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| In Taxes, Sekua writes:
| | What if I have orders from buyers outside EU for example from Canada, private
customers, not VAT registered firms and in these cases default Bricklink invoice
is 0% VAT?
Should I check this order tickbox with VAT to include VAT tax or leave excluded
as it is as default? If not, when seller will pay this tax difference? I don't
want to double-tax someone and also I'm not sure if I should sell items with
0% VAT if this is not a VAT registered buyer.
|
BrickLink will either collect VAT (or sales tax) or the buyer will pay it on
receipt. You should definitely not be collecting VAT on non-EU sales.
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| | | | | | | Author: | IKIGAI_BS | | Posted: | Sep 5, 2023 07:23 | | Subject: | Re: WHEN I should include or exclude VAT? | | Viewed: | 31 times | | Topic: | Taxes | |
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| In Taxes, peregrinator writes:
| | In Taxes, Sekua writes:
| | What if I have orders from buyers outside EU for example from Canada, private
customers, not VAT registered firms and in these cases default Bricklink invoice
is 0% VAT?
Should I check this order tickbox with VAT to include VAT tax or leave excluded
as it is as default? If not, when seller will pay this tax difference? I don't
want to double-tax someone and also I'm not sure if I should sell items with
0% VAT if this is not a VAT registered buyer.
|
BrickLink will either collect VAT (or sales tax) or the buyer will pay it on
receipt. You should definitely not be collecting VAT on non-EU sales.
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Yeah, I just didn't knew when actually buyer will pay this VAT.
Thank you for all your answers.
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| | | | | Author: | takiejakie.pl | | Posted: | Sep 5, 2023 08:55 | | Subject: | Re: WHEN I should include or exclude VAT? | | Viewed: | 36 times | | Topic: | Taxes | |
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| Bricklink enforces the use of 0% VAT, which could get many sellers into trouble....
You settle the sale in Poland with a 23% VAT rate. Even if you send it outside
the EU. Unless you meet the conditions to qualify the sale as export, then 0%
VAT. Ask your accountant, because if you don't meet the formal requirements
(read about IE-599, for example), you will have to pay 23% to the tax office.
The Polish tax office is not interested in the fact that someone pays, for example,
US "Sales Tax" (it's not VAT!). You are responsible for your sales
taxes.
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Poland, w. Mazowieckie
Netherlands, Gelderland
France, Nouvelle-Aquitaine
USA, New Jersey