Taxes

Venditan Commerce simplifies the complexity of tax management by setting up Tax Rules for your delivery destinations, products, Customer Types, or a combination of criteria.

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Simplify your tax settings using Tax Rules

Venditan Commerce includes an extensive Tax management system that allows us to configure the rates that are applied to your:

• Products

• Customer Types

• Delivery Methods

• Shipping destinations

• A combination of the above

Tax is managed by creating Tax Rules for the country in which you operate.

No tax headaches, we'll handle it

Our team will configure your Tax Rules during your switch to Venditan Commerce, guaranteeing compliance from the moment you launch.

Tax Rules consist of:

• Name: Names the Tax Rule.

• Tax Rate: The percentage rate applied to the product, governed by the law of the country where the sale is being performed.

Tax Rates consist of:

Data	Purpose	Example
Name	Names the Tax Rate.	VAT
Country	Defines the target country of the Tax Rate.	United Kingdom
Value	Defines the percentage markup that should be applied.	20%
Effective From/To	Used for scheduling changes in Tax Rate.	When VAT changed from 17.5% to 20% in 2011.
Sales Channel	Limits the Tax Rule to a specific Sales Channel.	Selling on an international marketplace.
Customer Type	Limits the Tax Rule to a specific Customer Type.	Tax exemptions for military personnel.
Taxable Group	Limits the Tax Rule to a subset of products by applying criteria across: Product Category, Department, Product Tags, Sales Audience	Reduced or exempt Tax Rates for specific goods or services, like antiques and second hand goods.

Reduced Rate, Zero-Rated and Exempt Products

Product Tags are used to tag specific products for special treatment.

The tagged products are specified when setting up the Taxable Group within the Tax Rate.

Charge Tax on Gross Profit only

Taxable Groups can also be set up to charge the Tax Rate on gross profit only.

Tax Rules can be adjusted on an ongoing basis to accommodate changes in regulations or your business needs, we typically handle this for our clients on an ongoing basis.

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First-match application of Tax Rules

Venditan Commerce uses a first-match basis approach to apply Tax Rules.

This ensures that the most specific and relevant tax regulations are prioritised for the delivery destination.

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🔌 Integration: Use Avalara for advanced international Tax Rules

Venditan Commerce is integrated with Avalara, a leading third-party tax management solution that handles complex international tax regulations.

Avalara allows us to automate the entire tax calculation process, ensuring accuracy and compliance across multiple jurisdictions where the rates can be highly variable, e.g. Across the United States of America.

When a Customer completes a purchase on your website, the product basket details are sent to Avalara.

Avalara then calculates the applicable taxes and returns the information instantly, ensuring the correct amount is charged. This entire process happens automatically, providing a smooth and transparent experience for the customer.

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Manage HMRC & Exports data for your products

Venditan Commerce can handle critical product information if you export products overseas.

Data	Purpose
Country of Origin	Specifies the economic nationality of each product. This information is essential for determining applicable trade agreements, tariffs, and regulations that may affect your goods during export.
Export Commodity Code	Crucial for calculating the correct rate of Customs Duty, import VAT, and applicable taxes.
Import Commodity Code	Assists in determining the duties and taxes imposed by the importing country, facilitating smoother customs clearance and compliance with local regulations.
Composition	Document the raw materials that each product is made from.

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Support for Import One-Stop-Shop (IOSS) scheme

Venditan Commerce supports VAT charging under the IOSS scheme.

This means orders received from EU member states will have the relevant VAT for the state added automatically - only if the Order Total is below the IOSS threshold of 150 EUR.

If the order is above that threshold, then VAT won't be added to the Order.

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Access Tax breakdowns with in-built reporting

Access tax breakdowns with built-in reporting that can be scheduled to be sent to an email address at a frequency of your choice.

For VAT Returns: Sales by Tax Report

Gain insights into your sales performance across different Sales Channels.

Review sales exclusive of tax and tax amounts for each Sales Channel. The data is broken down by Tax Rate, providing a day-by-day view over a selected date range.

For Reconciliation: Payment Receipts Report

Track individual transactions processed through your website.

This report breaks down transactions by payment types: credit card, debit card and E-voucher.

Each transaction is itemised, showing the tax charged, allowing you to reconcile payments and taxes accurately.

Learn more: Reports & Analytics