zefeena Posted April 5, 2015 Share Posted April 5, 2015 Hi, I have noticed that tax calculations work on the shipping address and need a way of changing this so it is based on the customer address or the billing address. I have customers who have their orders sent to other places. It is incorrect that the tax is based on where they have something sent to. For example if I have an American customer who sends something to a factory in the UK for sewing up, then surely they should not pay VAT, afterall they are a US customer and, presumably, at some point the item will be forwarded to them. It have never been an issue before as I have only just become VAT registered. Can anyone tell me if it is possible to change the tax calculations to base on billing or customer rather than shipping address, and ideally, correct me if I am wrong about how vat is calculated when a customer sends elsewhere! I have numerous EU customers who have items sent to the UK, if they are VAT registered this is going to complicate things if the tax is calculated on shipping address Kellie Running a botched up version of osCommerce Online Merchant v2.3.4 bootstrap with the dresscode theme installed, numerous add-ons, terrible coding, terrible website, but will have to make do until I have made up for my losses and can risk shutting down for a couple of weeks while I start all over again. - I did not install my program but am endeavouring to fix it with your help. Link to comment Share on other sites More sharing options...
MrPhil Posted April 5, 2015 Share Posted April 5, 2015 Don't change things based on how you think they should logically work -- that may very well not match how the tax authorities say they should work! At the very least, get an official opinion that the system works the way you think it should. In the case you gave, it may be that the customer will have to get some sort of tax refund after the fact, rather than being able to avoid paying a tax in the first place. In some cases, such as downloadable purchases, osC uses the customer billing address to calculate taxes, primarily because there is no shipping address in the first place. While very often, billing and shipping addresses are the same, it's not always. Tax laws usually specifically say that the shipping address is the one to be used, so make sure you stay within the bounds of the law, if you want to stay out of trouble. Link to comment Share on other sites More sharing options...
zefeena Posted April 5, 2015 Author Share Posted April 5, 2015 Hi, I totally agree with what you are saying, and its a strange one, which may well be a loophole. Via this calculation method - If I wanted to send something as a gift to my Aunty in Canada, I Would be better to buy it online and have it sent direct - 0% vat (thus I, as a UK resident have just avoided paying vat!!). If I visited the shop in person and bought it so I could wrap it up and send it with a card I'd have to pay an additional 20% (as I should!) Not sure who I would ask. I have yet to find any officialdoms who are really keyed up on the laws and regs when one has only an online shop. Thank you anyway, maybe i'll just leave it! Running a botched up version of osCommerce Online Merchant v2.3.4 bootstrap with the dresscode theme installed, numerous add-ons, terrible coding, terrible website, but will have to make do until I have made up for my losses and can risk shutting down for a couple of weeks while I start all over again. - I did not install my program but am endeavouring to fix it with your help. Link to comment Share on other sites More sharing options...
Mort-lemur Posted April 5, 2015 Share Posted April 5, 2015 To make something exempt from vat for overseas (non EU) customers you have to physically have proof that it has been exported from the UK, if this exporting is done by a third party then you do not have the proof yourself so should charge Vat. Now running on a fully modded, Mobile Friendly 2.3.4 Store with the Excellent MTS installed - See my profile for the mods installed ..... So much thanks for all the help given along the way by forum members. Link to comment Share on other sites More sharing options...
zefeena Posted April 5, 2015 Author Share Posted April 5, 2015 Okay, then i'll stick to the shipping address being the taxable calculation. But what if a UK customer chooses an overseas shipping address like USA, is that still okay for them not to pay VAT? as it will automatically calculate that way (and they will have checked out and paid before I realise!) Because of the products I deal in, some of my customers are students and travel to other countries where they may remain for months at a time and therefore have goods sent to their overseas address. Running a botched up version of osCommerce Online Merchant v2.3.4 bootstrap with the dresscode theme installed, numerous add-ons, terrible coding, terrible website, but will have to make do until I have made up for my losses and can risk shutting down for a couple of weeks while I start all over again. - I did not install my program but am endeavouring to fix it with your help. Link to comment Share on other sites More sharing options...
Mort-lemur Posted April 5, 2015 Share Posted April 5, 2015 some bedtime reading: https://www.gov.uk/government/publications/vat-notice-703-export-of-goods-from-the-uk/vat-notice-703-export-of-goods-from-the-uk Now running on a fully modded, Mobile Friendly 2.3.4 Store with the Excellent MTS installed - See my profile for the mods installed ..... So much thanks for all the help given along the way by forum members. Link to comment Share on other sites More sharing options...
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