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This article applies to: MultiStore

VAT


VAT is the 'Value Added Tax' as practiced by member states of the European Union. Stores based in an EU country will most likely be responsible for VAT, and will need to use the information below to configure it. See here for more information on VAT in general.

Enabling VAT

1 - First, be sure that you have set up taxes for the countries you wish to sell to. When customers are anonymous (not logged in or registered), taxes that are displayed will be calculated based on the tax rates set for the country specified in the VAT.CountryID AppConfig (see below). Once the customer registers and/or logs in, taxes will be based on their country's tax rates.

2 - Set the VAT.Enabled AppConfig to true.

3 - Configure the following AppConfigs according to your site's preferences:

AppConfig NameDescription
VAT.CountryIDThis should be set to the ID of the country your store is based in. The country ID can be found on the Configuration → Taxes → Edit Countries page in the admin site.
VAT.RoundPerItemSetting this to true makes the software apply tax and then round off the cost for each item individually before adding the totals together. Leaving this set to false results in more mathematically accurate totals, but can lead to results that appear slightly off to customers.

Display

Several AppConfigs control how the taxes display on your site when VAT is enabled:

AppConfig NameDescription
VAT.DefaultSettingThis setting determines whether prices on the site are displayed with tax built in ("inc vat") or without ("ex vat"). Different countries have different rules for how these prices must be displayed, check with a local accountant or attorney for the rules for your area. Set this to 1 for tax inclusive, or 2 for tax exlusive.
VAT.AllowCustomerToChooseSettingIf this is set to true, customers will be able to choose from a dropdown menu whether or not they want taxes to be included in prices displayed or not. This will override the VAT.DefaultSetting described above for that customer.
VAT.HideTaxInOrderSummaryIf this is set to true, and taxes are inclusive (due to VAT.DefaultSetting or the customer's chosen VAT display style), the tax line items will not be displayed on checkout pages. NOTE: This makes it possible to have a subtotal and ordertotal that are different, with no tax line to explain why. Be very certain that you want to allow that when enabling this feature combination.

**This AppConfig was deprecated in MultiStore version 9.2.0.0. Subtotals will always reflect the prices shown for line items, based on whether the page is being viewed with tax Inclusive or Exclusive.