We would like to take this opportunity to point out once again that we are not tax consultants ourselves and that although the cases mentioned, their application and corresponding tax rates have been worked out with the greatest care together with our customers (and their tax departments), this does not guarantee a completely correct application of VAT in your company. We strongly recommend that you check the cases with your tax advisor or tax department to ensure that they are correct for your individual situation
Use cases
The extension offers the "Dynamic customer tax class" function to assign customers to a tax class regardless of their customer group and thus support various extended use cases for VAT calculation.
Supported cases for an EU-based company
Depending on which address is to be used for the evaluation (or the VAT ID no. of the corresponding address), the module currently supports the following cases. If the evaluation is to be based on the billing address, there are more complex options than if the evaluation is based on the shipping address. You can use the configuration to choose which method suits your business better.
Based on billing address
| Country of the billing address | Valid VAT ID no. | Country of the shipping address | Applicable tax rate |
|---|---|---|---|
| Domestic | Yes | Domestic | Domestic |
| Domestic | No | Domestic | Domestic |
| Domestic | Yes | EU country | Domestic |
| Domestic | No | EU country | Rate of the EU country |
| Domestic | Yes | non-EU country | Zero rate |
| Domestic | No | non-EU country | Domestic |
| EU country | Yes | Domestic country | Domestic country |
| EU country | No | Domestic country | Domestic country |
| EU country | Yes | EU country | Zero rate |
| EU country | No | EU country | Rate of EU country |
| EU country | Yes | non-EU country | Zero rate |
| EU country | No | non-EU country | Domestic |
| non-EU country | - | Domestic | Domestic |
| non-EU country | - | EU country | Rate of the EU country |
| non-EU country | - | non-EU country | Zero rate |
Based on the shipping address
If the customer tax class is evaluated based on the VAT ID number of the shipping address, the following cases arise.
The customer tax class for EU B2B is always applied if one of the following conditions is met:
- The shipment is made to a non-EU country
- The shipment is made to an EU country (not domestic) and the shipping address contains a valid VAT ID no.
Domestic shipping is always taxed via the customer tax class for consumers. Otherwise, the tax rate of the respective shipping country will be charged.
Supported cases for delivery to Great Britain
| Country of origin | Country of dispatch | Total amount of the order | Applicable tax rate |
|---|---|---|---|
| Any EU | Great Britain, except NI | under 135 GBP | UK rate |
| All EU | UK, except NI | over 135 GBP | Zero rate |
Supported cases for import into the EU
| Country of origin | Country of dispatch | Total amount of the order | Applicable tax rate |
|---|---|---|---|
| Any non-EU | Any EU | under 150 EUR | Country rate |
| All non-EU countries | Any EU | over 150 EUR | Zero rate |
