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The need to keep track of all VAT rates across the EU, charge all individual customers their respective VAT, gather everything into VAT MOSS reports, pay everyt
by jwr 8y ago
The need to keep track of all VAT rates across the EU, charge all individual customers their respective VAT, gather everything into VAT MOSS reports, pay everything with appropriate conversion rates chosen. It's not impossible, just complex, and in general not worth the effort if you're charging several dollars a month.
If you think this is easy, tell me how much VAT (and in which currency) you will charge a customer from AX today, and what you'll do about a customer from GB in March. None of this is obvious, and it all changes quickly.
As others have pointed out, there are services that supposedly help with this. I looked at everything that was available a couple of years ago and none of the available solutions did this easily and correctly. It's not an easily outsourceable problem, either, as it has to integrate closely with your billing.
For B2B customers this is not an issue: you don't charge VAT (reverse charge) and you're done.