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Table of contents

Table of Contents

Overview


The VAT Mini One Stop Shop (MOSS) system is an optional scheme that allows you to account for VAT normally due in multiple EU countries in just one EU country. Eligible for the scheme are businesses that supply cross-border telecommunication, television and radio broadcasting, or digital services to non-taxable persons. MOSS means that you don't need to register with tax authorities in every EU country you sell to, instead, you can register for VAT, file VAT returns and make payments in one single place. You must apply the rules of the MOSS scheme to your customers in all EU countries that you supply to.

With HostBill tax settings you can set and apply MOSS tax rates for non-business customers. Follow the short tutorial below to see how to do this

Tax settings

In HostBill Admin → Settings → General Settings → Taxes choose the first option to Enable Tax. 

Configure the rest of the tax setting according to your company needs and preferences.

Below, in the Tax rules section click on 'Use your country premade tax settings" button. Choose your country from the list and click on 'Add premade tax list'.

HostBill will automatically create a list of taxes applicable for different EU countries:

VIES VAT EU plugin

Proceed to Extras → Plugins. Find and activate VIES VAT EU plugin. Fill in the configuration fields as shown and explained below:

  • Enable tax exception - it determines whether customers with valid VAT EU that are not from your country should get VAT Exemption. Tick this option.
  • Remove invalid entries - it determines, whether invalid VAT EU number entered should be auto-removed. Tick this option.
  • Field keeping VAT EU - enter field code from Clients→Registration fields that is responsible for keeping customer VAT EU number.
  • Your country code - enter ISO code of your country. This value is used to determine whether customers should be charged your local VAT.
  • Verify profile edits - if enabled, VAT EU entry will be verified on customer profile edit. Tick this option. 
  • Verify admin profile edits - if enabled, VAT EU entry will be verified on admin profile edit. Tick this option.
  • Set local VAT rate for B2C customer - when enabled customer that is from EU, but does not have company with registered VAT EU, will be charged their local VAT rate. Do not tick this option.
    • Assume valid tax on VIES error - VIES API is not the most reliable one. With this option enabled, if verification times out, returns error, HostBill will assume that VAT tax is valid.
    • Add reverse charge note - enter a text that should be auto-added to invoices for all customers falling under Tax Exception rule (Valid VAT EU, registered outside your country).
    • Only customers with company name provided - this option is additional check preventing customers without company name provided using VAT EU field to get tax exception. 
    • Inclusive tax for non-EU: Exempt companies only - when enabled and taxation is set to Inclusive, customers outside of EU will get exemption only if company name is provided. Otherwise all non-EU clients will get exempt. Tick this option.

    Save changes.

    With all this options enabled, HostBill will be able to work with the MOSS system.