When dealing with billing and VAT (Value-Added Tax) in the European Union, it's essential to understand how VAT applies to different countries and how to ensure you’re accurately charged or exempted from VAT. This article will guide our EU stack users through the process of handling VAT when filling the billing address info.
1. VAT in the EU Stack: What You Need to Know
If you are a user from a country within the European Union, VAT may be applicable to your purchase. However, there are certain conditions under which you can be exempt from paying VAT:
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No VAT Required: Some countries, such as Norway, are outside the EU's VAT zone. Therefore, users from these countries do not need to pay VAT on their purchases.
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VAT Exemption with a Valid VAT Number: If you’re from a country within the EU and your business is VAT-registered, you can be exempt from VAT by providing a valid VAT number. The VAT number should be input in the VAT column of your billing address during checkout.
You can also find more info on European Union VAT rates for your reference.
2. How to Verify Your VAT Number
To ensure that you are correctly exempt from VAT, it's crucial to verify that your VAT number is valid. Here's how you can do it:
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Visit the EU’s VIES (VAT Information Exchange System) VAT number validation page:
- Go to the VIES VAT number validation page.
- Select your country and enter your VAT number in the designated field.
- Click "Verify" to check the validity of your VAT number.
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Ensure Your VAT Number is Up to Date:
- Make sure that your VAT registration is current and accurate. Expired or incorrect VAT numbers will not qualify for tax exemption.
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Inputting the VAT Number:
- Enter the verified VAT number in the VAT field of your billing information during the checkout process.
3. My VAT number is valid. How come I still see an error saying my VAT number is invalid when I input it during the Splashtop checkout?
If it's confirmed your VAT number is registered but you still see an error saying your VAT number is invalid during the Splashtop checkout process, it is possible that cross border transaction is not available for your VAT number. You can go to the VIES VAT number validation page to double check your VAT number. It would show as the below screenshots if that is the case.
4. Need More Help?
If you have any questions or run into issues, don’t hesitate to reach out to our support team.