When does VAT apply?
Value Added Tax may apply. But when does it actually?
We consider our primary clients to be entrepreneurs and other businesses. In other words, fortrabbit is primarily a B2B service. While that can mean anything and nothing, it carries some fiscal implications:
- Our prices are shown as net prices without Value Added Tax (VAT)
- If you are a non-VAT registered company in a EU country, we add VAT
- If you are a VAT-registered company in a EU country and add your valid VATIN, we don't charge you VAT
- If you are a VAT-registered company in Germany, we add VAT, but you will get it back from your tax-office
- If you are a company from a NON-EU country, we don't charge you VAT
VATIN for EU clients
We recommend to enter your VATIN (Value Added Tax Identification Number), sometimes referenced as VAT TAX ID or similar. This way you save upfront costs for VAT — reverse charge makes this possible. See our guide to setup your VATIN with your Billing Contact.
EU VAT exemption
We charge no VAT, if article 151(1)(a) VAT Directive applies, e.g. for international bodies, embassies or other EU organizations with a valid VAT exemption certificate. Please get in touch if VAT exemption applies to your organization.