Will I be charged GST / VAT / Consumption Tax?

ApprovalMax utilizes a 3rd party service for subscription billing. This service provider (2Checkout, https://www.2checkout.com/) is an authorised reseller of ApprovalMax subscriptions and considered a Vendor of Record, meaning Avangate follows all laws and regulations and is responsible for the collection of sales tax.

Avangate does collect sales taxes from customers located in a number of US states, however, tax rates vary depending on the zip code of the billing address.

According to EU regulations, all customers located within the European Union are required to pay VAT unless they have a valid VAT ID, in which case they are exempt from VAT. The VAT rate is charged according to the customer's country of residence or establishment. When activating an ApprovalMax subscription, you have to provide your VAT ID to be exempted from the VAT charge.

Avangate collects sales tax for customers in Australia, Iceland, India, Japan, New Zealand, Norway, Russia, Serbia, South Africa, South Korea, Switzerland, Taiwan, and Turkey.

Sales tax exemptions may be available in some countries for business customers who provide a valid tax number or business number.

GST for New Zealand customers and GST exemption

Since October 2016, New Zealand-based customers are charged an additional 15% sales tax when buying goods or services from non-New Zealand businesses. The billing service company, Avangate, is required to collect GST in addition to the ApprovalMax net price. The total cost of ApprovalMax subscriptions as well as the incurring taxes are displayed in the shopping cart.

Business customers will be exempted from GST by providing a valid IRD number during the checkout process.

To find out more about the GST law change for non-resident businesses supplying remote services to New Zealand customers, please visit: http://www.ird.govt.nz/industry-guidelines/non-res-bus-gst/online-services/non-res-bus-gst-online-services.html

 Australia GST on remote services

Since 1 July 2017, an additional 10% tax is charged for sales to Australia-based customers.

The total cost of ApprovalMax subscriptions and the incurring taxes are displayed in the shopping cart.

Business customers will be GST exempted by providing a valid ABN number during the checkout process.

For details about the GST change for imported services and digital products, please visit https://www.ato.gov.au/Business/International-tax-for-business/GST-on-imported-services-and-digital-products/

 

VAT in the European Union

Businesses making digital purchases can be exempted from VAT by providing their valid VAT ID at the time of purchase. For those providing a VAT ID, no Value Added Tax will be charged, and the VAT ID will be included on the invoice Avangate provides at purchase completion.

For a list of EU member states and their standard VAT rates, as well as more details on the VAT Regulations as from 2015, please visit https://ec.europa.eu/taxation_customs/business/vat_en or http://www.vatlive.com/vat-rates/european-vat-rates/


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