Value-added tax¶
Basic VAT settings can be found in the Admin panel under
. Usually, the default settings after installation are suitable for most shops so that no changes are necessary. All listed options are unchecked and the VAT rate is set to 19 percent by default.Default VAT for all Products
The number 19 in the input field indicates that all products in your shop are taxed at 19 percent by default. You can define a different VAT rate for individual products, for example, 7 percent for food.
Enter Product Prices as Net Prices (plus VAT)
The product price can be entered as a net price for all products. In this case, VAT for each product in the shop must be calculated before the product’s gross price can be displayed. There is an option ensuring that VAT is displayed only in the shopping cart and during the ordering process. This way, the shop would indicate a product’s net price, and VAT would be calculated and displayed only when a product is added to the cart. The setting Calculate specific VAT only in Shopping Cart and Checkout can be found under
Similar to product prices, shipping costs, payment method fees and gift wrapping costs can be entered as net prices. Other settings allow you to specify how detailed shipping costs, payment method fees and gift wrapping costs should be displayed in the shopping cart. By default, the gross amount will be displayed. However, it is also possible to display the net amount plus VAT.
Use shipping country for VAT calculation instead of billing country
After the installation, VAT will be calculated based on the billing address by default. Whether VAT is charged or not is determined based on the address of the invoice recipient. As an alternative, the shipping address can serve as the basis for calculating VAT.