What's happening on

01 January 2015

EU VAT laws are changing for e-service providers. Today, VAT on e-services is charged based on the merchant’s location but from 01 January 2015, VAT on e-services must be calculated based on customer location. Watch the video for a brief explanation of the changes.




Time is running out to be compliant

Taxamo

Solution

VAT calculation, storage and reporting

Taxamo provides a real-time solution for compliance with new EU VAT rules. It is a unique end-to-end service that enables e-service merchants to comply with these changes, without impacting the existing customer journey.


In line with EU regulations, Taxamo allows for VAT calculation, evidence collection, MOSS returns and audit services.



  • Identifies EU and Non-EU transactions
  • Collection of customer location evidence
  • Validates B2B transactions
  • Real-time VAT calculation across 28 EU States
  • Supports both dynamic and universal pricing









  • Stores customer location evidence
  • Calculates ongoing VAT liability
  • Provides VAT matrix management
  • Creates quarterly MOSS returns
  • Creates audit files for Tax Authorities
  • Securely archives data for 10 years, as mandated








 

Taxamo is a simple solution to a complex problem. There are a number of benefits for e-merchants:

 


Saves time, money & resources

Out-of-the-box compliance service

Easy to integrate with current systems

Manages EU VAT rate changes

Saves evidence safely & securely

Based On Success

PRICING

Simple & Effective

Various pricing options are available. Please contact Taxamo for more information.

Beta Sign Up

Taxamo is now available in beta. Please sign-up here to gain access & 6-months free:


 

2015 Legislation

On 01 January 2015, the European Union rules on the calculation of Value Added Taxes (VAT) on broadcasting, telecommunications and e-services are changing. This affects businesses and consumers selling within the EU. It also applies to businesses selling into the EU. The goal of these changes is to improve European VAT compliance and level the playing field for all e-service providers.


2015 EU VAT Directive

VAT on electronic services supplied to consumers will no longer be calculated based on the place the service was supplied from, but rather based on the place in which it is consumed (i.e. where the customer is located). It applies only to B2C transactions.

This new legislation requires impacted businesses to report and pay VAT in any of 28 participating States, depending on where the merchant is located.

An e-service provider can opt for multiple VAT registrations or, alternatively, will be able to account for VAT across the EU via a single electronic declaration under the Mini One Stop Shop Scheme.

Please see the following link for more detail on the EU VAT directive – EU Commission website

The Mini One Stop Shop scheme (MOSS)

The MOSS is an optional scheme which will allow businesses to declare and pay the VAT due in one EU member state, rather than where their customers are located (in the case of EU businesses, this will be the member state where they are established). A e-service supplier who opts to use the scheme will submit quarterly VAT returns electronically to the Member State of Identification, declaring the VAT charged and collected in the EU Member States where the customers are located. The EU VAT payments will be made to that Member State, which will then transmit the funds to the respective EU Member States. This scheme is intended to simplify the EU VAT compliance obligations for operators who would otherwise be required to have multiple VAT registrations.

Please click here to learn more about the Mini One Stop Shop – EU Commission Website


About Us

Founded on a legacy of entrepreneurship and innovation, Taxamo exists to provide an EU VAT compliance solution to e-service merchants. The Taxamo team has over 30 years of experience in the payments industry and leads the way in technical solutions for e-merchants. Dedicated to designing and implementing revolutionary, real-time technology, Taxamo provides a unique end-to-end solution that enables merchants to comply with regulatory requirements as it relates to VAT calculation, evidence collection, MOSS returns and audit services.

If you would like to learn more about a tailored service, please contact us.

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If you would like to know more about Taxamo, please contact us