VAT / Sales Tax in EasyWebstore

EasyWebstore has been designed to work with different ways of dealing with VAT, whether you dont use VAT at all, or all your products use the same VAT rate, or different products use different VAT rates.

In the EasyWebstore Admin Area under "Orders" > "Sales Tax Details" there are 3 options for Sales tax model :

Ignore

If you aren't VAT registered or none of your products are VAT'able you can select this option, then there is no mention of VAT in the system.

Simple

In this case there is one sales tax rate set and this works across the board for all of your products, this is the default option and would probably be suitable for most people.

For "Registration number / invoice message" you can enter your vat registration number if you want, or some other message (this will be shown on the invoices).

In your admin area under "Site look and feel" > "Display settings" there is an option called pricing style where you can set what prices you want to include on your site to your customers : Including sales tax, excluding sales tax, both.

When you are adding/editing a product there is a tick box called "Price excludes VAT", under the price box. This indictaes whether the price you have entered for this product includes or excludes VAT.

In your admin area under "Orders" > "Shipping Details", any numbers entered in the shipping methods also include VAT.

Note: There isn't a way in easywebstore at the moment to define shipping/delivery as being excempt from VAT.

Advanced

If you have some products that use one vat rate and other products that use another vat rate (or not vatable at all) you need to used Advanced Sales Tax.

Once you have changed the sales tax model to Advanced, the screen changes giving more options. You can create as many sales taxes as you want using the "create sales tax" button.

When you add a new one fill in the description, then press update. there is then a button called "add tax rate" that you can press.

The tax rate you add might only be applicable to certain countries, you can select them in the applicable countries box. Enter the rate in the rate box then press update to save it.

For example you could add 2 sales taxes's, one called "Standard" and set its rate to 17.5, and another one called "Not Vatable" and set its rate to 0.

There is an option "Default sales tax to apply", you can set this to the one than is more common (the one that applies to most of your products).

Once these tax classes are set up the next job is to go through all the products and assign them to a particular tax class. So any product that shouldn't be in the default tax class needs to be edited and changed to the desired tax class.

When you add or edit a product now there is a new option : "Tax class to apply", where you can select the appropriate tax class from the ones you've set up.