Some areas belong politically to an EU member state but lie outside the EU VAT area. Deliveries to such areas are generally exempt from the VAT ID requirement or are to be treated like third-country deliveries. The extension recognizes such areas through two mechanisms: by region and by postcode.
The settings are located under Stores → Configuration → (Sales) EU VAT Enhanced → VAT Settings → Fixed Settings.
Detection by region
Tax-Free Territory Regions (vat_settings/taxfree_regions, not translated in the admin) is a multi-select that offers all regions of the configured EU countries grouped by country. An address whose region is selected here is considered a tax-exempt territory.
By default, the following regions are pre-selected:
| Region ID | Country | Region | Territory |
|---|---|---|---|
| 145 | ES | Ceuta | Ceuta |
| 157 | ES | Las Palmas | Canary Islands |
| 163 | ES | Melilla | Melilla |
| 170 | ES | Santa Cruz de Tenerife | Canary Islands |
| 339 | FI | Ahvenanmaa | Åland Islands |
| 813 | GR | Ágion Óros | Mount Athos |
The region IDs come from the Magento directory table and may differ between installations. What matters is the selection in the dropdown, not the ID. After an import, check whether the correct regions are selected.
Detection by postcode
Not every special area is modeled as its own region. Tax-Free Territory Postcodes (vat_settings/taxfree_postcodes, not translated in the admin) therefore allows entries consisting of a country and a postcode pattern (regular expression). If the postcode of an address for the respective country matches the pattern, the area is considered tax-exempt.
By default, the following patterns are set:
| Country | Postcode pattern | Territory |
|---|---|---|
| DE | ^27498$ |
Heligoland |
| DE | ^78266$ |
Büsingen am Hochrhein |
| IT | ^23030$ |
Livigno |
| IT | ^22060$ |
Campione d'Italia |
You add your own areas as a further row. The pattern is a regular expression – ^…$ binds it exactly to the specified postcode.
Effect
If the extension recognizes a tax-exempt territory (by region or postcode), the address is exempted from the VAT ID requirement. In combination with the Disable CBT (for tax-exempt EU regions) switch (see Tax classes & calculation), the true net price is also calculated instead of the gross price without tax.
Whether an area is to be treated as tax-exempt in your specific case and which evidence is required, please clarify with your tax advisor. The supplied list is a sensible pre-selection, not a conclusive legal determination.