eCommerce does not support EU tax rules

My company is based in Denmark and selling to other companies worldwide.
The VAT rules are:
- When customer is in Denmark, charge Danish 25% VAT
- When customer is in EU and I have their valid VAT number, don't charge VAT, but write "reverse charge" on the invoice (my customer must report VAT nationally)
- When customer is in EU and I don't have their valid VAT number, charge 25% VAT
- When customer is outside EU, don't charge VAT

The commerce plugin does not seem to support this and just charges full VAT for everyone in the EU and nothing outside EU. Correct would be to ask the customer for their VAT number and verify this at VIES (http://ec.europa.eu/taxation_customs/vies/)

Until that is implemented, is there a way for me to take the order (including the extra VAT number attribute) without sending directly to the payment processor? On the order overview, I can see a status "Received", but I can't find out where to set this as default.

  • Michael Bissett

    Hey Sten, Michael here! :slight_smile:

    Until that is implemented, is there a way for me to take the order (including the extra VAT number attribute) without sending directly to the payment processor?

    Honestly, you'd be using the Manual Payments gateway in that case, as there's no way to "prevent" a payment from being processed by a payment provider (which is what "without sending directly" would end up translating to, from their perspective), while still taking the order for a customer.

    As for taking a VAT number, enabling the "Show Special Instructions Field?" option inside of:

    Store Settings -> General

    Would help out on that front, as customers would be able to enter that there. It would only show up if the box for "Shipping address different than billing?" were checked, though, so that's something to bear in mind.

    The wording of that section (as well as the wording for the special instructions field) could be adjusted with the help of the Network Wide Text Change module inside of our Ultimate Branding plugin:

    https://premium.wpmudev.org/project/ultimate-branding/

    Kind Regards,
    Michael

  • Holger

    Hi there,
    do i understand it correctly, that your marketpress ecommerce solution does not support EU VAT regulation? (what every shopowner in EU needs!)
    How is the plan? are you going to implement it soon?

    Also selling digital goods in EU has interesting regulations (the VAT of the customer's land is calculated) - are you planing to integrate that soon?

    I think there are many shopkeepers (like me), that have to decide where to go to get a working solution (not solving it correctly as a shopkeeper means you are heading to big trouble with government)

    kind regards - Holger.

  • Holger

    Small addidtion: Taxamo is obviously the easiest way to get this nasty thing out of the way... BUT: Your customers have to pay for it extra...
    And i expect a shop to be able to deal with such a fundamental thing like correct VAT handling without the need of delegating stuff to external ressources, your customer - me - have to pay for additionally. That would have some kind of bad taste...
    Just my honest oppinion...

    Why? I would really like to use your neat suite next year too and get rid of woocommerce... now your plugins are nice, but as the unsolved VAT-problem makes it impossible to me to use it on my new pages, fanntastisch - where i talk about loosing weight easily doing some sports and would like to integrate Members, Appointments, Marketpress and Events to get on the Road... But well... it's located in EU -> WooCommerce. And as Appointments, Events and Membership do not work with WooCommerce, i have to take other solutions.
    Again... So i won't continue my subscription with WPMUDEV as there are no plugins left... either they are not useable in my region, or there are better free solutions...
    Sorry... i'm somehow dissappointed.

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