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Show HN: A REST API for Calculating VAT in the EU

vatmossapi.com

61–70 of 118 posts

Re: Show HN: A REST API for Calculating VAT in the EU

#61

Doesn't seem correct, at least for Holland. As far as I'm aware, as a seller in The Netherlands, you only have to charge VAT for buyers that are also in The Netherlands.

Too late to edit: I've only ever handled the B2B case, this seems to be specifically targeted at B2C.

I don't fault you for that, the page is confusing at best.

Re: Show HN: A REST API for Calculating VAT in the EU

#63
The barrier of running an EU B2C business is so high if you need to sell all over EU that most of the time it doesn't even make sense. It's a shame because if you're in the EU and you want to bootstrap a small B2C business you have no choice other than sticking to the country you're in.

Re: Show HN: A REST API for Calculating VAT in the EU

#65

VAT just sounds like a huge, overcomplicated mistake by the EU. Why do you guys continue to live with it instead of repealing or fixing it?

It's not easy by any means but neither would I call it a huge, overcomplicated mistake. Even the new rules for digital services are overdramatized – it's really just as simple as charging a different VAT rate per country and submitting a single quarterly VAT return for the entire EU. For most people, if their web store and accounting software doesn't already take care of this, it will soon enough.

Also, every EU member state already had VAT and already had differing rates and rules before joining the EU, so the complexity was already there.

Re: Show HN: A REST API for Calculating VAT in the EU

#67

VAT just sounds like a huge, overcomplicated mistake by the EU. Why do you guys continue to live with it instead of repealing or fixing it?

Well, corporate taxes and income taxes are already quite high in some countries (eg. Italy) and I'm not sure what other alternatives there are to VAT other than raising those two to compensate

Re: Show HN: A REST API for Calculating VAT in the EU

#68

That won't work in Ireland. While 23% is the headline rate, it's not the only rate: https://www.taxworld.ie/vat/summary/vat-rates/

There are variable rates almost everywhere, but this API is specifically about digital sales (where the MOSS system applies) so it will typically be that headline rate that you need anyway. Of course, there's no guarantee that that will always be the case, and to know for sure you need to understand the tax systems of 28 different EU member states. This is (one of many reasons) why the new EU VAT rules have been so c…

Sure, the headline rate is applicable for most things, but not everything, and those differences can be important. For instance, if Amazon are selling children's shoes into Ireland, they must charge 0% VAT. That's still a digital sale.

Re: Show HN: A REST API for Calculating VAT in the EU

#69
post #67

VAT just sounds like a huge, overcomplicated mistake by the EU. Why do you guys continue to live with it instead of repealing or fixing it?

Well, corporate taxes and income taxes are already quite high in some countries (eg. Italy) and I'm not sure what other alternatives there are to VAT other than raising those two to compensate

I understand why there is a need for the variable rates, but the administration of it all sounds horrible.

There should be a single source of truth for the rates data, and there should be an api instead of having to rely on a third party for that information.

Re: Show HN: A REST API for Calculating VAT in the EU

#70

VAT just sounds like a huge, overcomplicated mistake by the EU. Why do you guys continue to live with it instead of repealing or fixing it?

Complex sales tax almost seems inevitable, there are lots of similar services in the US, like https://www.taxjar.com/api/.

One of the things regulators want from a tax code is to stop large companies picking their jurisdiction to avoid sales tax, and therefore gain an unfair advantage. The MOSS is really annoying for microbusinesses, like musicians wanting to sell their album online, but compliance is easily handed off to an accountant for anyone working on such things full-time.

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