VAT rate

[neighborhood_bike_works_philadelphia]

Is VAT determined by price only or price plus shipping?

[goodluckselling]

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@neighborhood_bike_works_philadelphia wrote:

Is VAT determined by price only or price plus shipping?

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VAT rates  (value-added tax) is a consumption tax (product) placed by different countries, which sets their own sales taxes at varying rates.  VAT is usually a destination-based tax, where the tax rate is based on the location of the consumer and applied to the sales price. 

Good Luck Selling!

In the United States there is no federal value-added tax (VAT) on goods or services. Instead, we use a sales and use tax (state sales tax system).

[guangxi_hone]

Often, when I sell to VAT country, buyer asks not to include shipping in an auction so I mark shipping free. Something to do with border fees : duty or VAT or both.
Not sure about other countries but in Poland they apply 23% VAT to the price as well as to the shipping.
Post office shipping fee (and only PO) is exempt as they sell service with VAT already included.

[jeannicho22]

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@neighborhood_bike_works_philadelphia wrote:

Is VAT determined by price only or price plus shipping?

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I BELIEVE it is price plus shipping.  Are you considering moving to a country that utilizes VAT to support their social programs?  If not, VAT is the responsibility of the buyer to investigate.

[slippinjimmy]

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@neighborhood_bike_works_philadelphia wrote:

Is VAT determined by price only or price plus shipping?

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Depends on the country. In Canada (VAT is called GST) shipping is not included, in the EU shipping is included (if known).