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Taxation

GUIDANCE WARNING: Please note that the following guidelines do not constitute tax, legal, or other professional advice and must not be used as such. It is the sole responsibility of all Prodigi clients to comply with all legal and sales tax requirements for issuing sales tax or VAT invoices in respect to your sales transactions. If you are unsure as to what the contents of an invoice you issue to your customers should be, we suggest that you contact your tax advisor. Prodigi cannot assist you with any legal or tax advice as we’re not accountants or legal experts, and we stress that none of the following may be taken as professional advice.

Regarding your IOSS guidelines, it seems that these are only applicable for orders being shipped from outside the EU into the EU. Does this mean that import tax / customs fees don’t apply to Prodigi products manufactured in the Netherlands?
Yes, that's correct! Since IOSS only applies to orders imported into the EU, there won't be any such charges for orders being shipped from the Nethe...
Mon, 21 Aug, 2023 at 4:28 PM
Does Prodigi charge US sales tax?
Prodigi charges US sales tax on all orders being delivered to US addresses, unless you can provide proof of exemption.  If you’re registered for US sale...
Mon, 21 Aug, 2023 at 4:26 PM
How much US sales tax will I be charged?
Prodigi will charge you based on the value of the items we’re selling to you, and invoices will include the US sales tax rate of each order’s destination st...
Mon, 21 Aug, 2023 at 4:26 PM
Do I need to register for US sales tax?
If you’re not currently registered for US sales tax, you might want to take legal/accounting advice on whether you should be.
Mon, 21 Aug, 2023 at 4:27 PM
Will VAT be applied to my order?
If your order is being delivered to the UK, you’ll be charged VAT (sales tax) on the fulfilment costs at the applicable UK sales tax rate of 20%. ...
Mon, 21 Aug, 2023 at 4:27 PM
How do I collect the correct VAT if I don’t have an EU VAT / IOSS / OSS number?
You should consult with your tax advisor to determine whether you should be registered for VAT and how much VAT to charge your customers.
Mon, 21 Aug, 2023 at 4:28 PM
Do I need to have a VAT / IOSS / OSS number to be able to place orders with Prodigi?
No. We supply products to both retail and wholesale customers, some of whom are not VAT registered. If you’re unsure as to whether or not you should have on...
Mon, 21 Aug, 2023 at 4:29 PM
Is VAT charged on both products and shipping?
Where chargeable, VAT is charged on both products and shipping.
Mon, 21 Aug, 2023 at 4:29 PM
Whose responsibility is it to ensure that any applicable import tax / customs fees are paid?
It’s the responsibility of the end customer to pay for these fees.
Mon, 21 Aug, 2023 at 4:30 PM
Is Prodigi responsible for charging VAT on all orders and declaring them, or will the end customers be required to do this themselves?
Prodigi is responsible for charging the applicable VAT to the merchant.
Mon, 21 Aug, 2023 at 4:30 PM
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