How does Weglot manage the VAT?

In this article, you will discover how VAT works with Weglot, in which scenario you have to pay VAT, and how to add a VAT number to your account.

💡 What You Should know

• Pricing & Taxes: The prices displayed on the Pricing Plans page do not include taxes. Any applicable taxes will be calculated at checkout and will also appear on your invoices.
• How Taxes Are Determined: Taxes are based on the billing address you provide. This is set when you create your account but can be updated at any time via your Weglot Dashboard.
• Tax Identification Number (VAT): In some countries, businesses must provide a tax identification number to qualify for tax exemptions. You can add your VAT number in the billing section of your Weglot account.

How Does Weglot Manage Taxes?

Weglot applies Value-Added Tax (VAT) in accordance with local regulations. The tax implications depend on your location:

🇫🇷 France

• VAT Rate: A 20% VAT is applied to all customers in France, regardless of whether a VAT number is provided.
• Adding a VAT Number: If you have a VAT number, you can add it via your Billing Dashboard, but it does not change the applied VAT rate.

🇪🇺 Other European Union (EU) Countries

• With a Valid VAT Number: If you provide a valid VAT number, you will not be charged VAT. The reverse charge mechanism applies, meaning you must handle VAT reporting yourself.
• Without a Valid VAT Number: VAT will be applied at the standard rate of your country.

➡️ Verify that your VAT number is valid via the VIES portal

🌍 Outside the European Union (Including the U.S.)

• Customers outside of Europe are not subject to VAT.
• The VAT rate is automatically set to 0% when selecting a non-EU country in your billing details.

How to Add or Modify Your VAT Number

📌 Important Notes Before Adding a VAT Number

• France: Adding a VAT number does not change the 20% VAT charge.
• Other EU Countries: A valid VAT number exempts you from VAT (reverse charge applies).
• Outside the EU: VAT numbers are not required since VAT is not collected.
• Check Your VAT Number is valid: You can verify your VAT number on the European Commission’s VAT Information Exchange System (VIES).

🛠 Steps to Add or Update Your VAT Number

(Follow the steps and see the screenshot below)

1️⃣ Access Your Billing Dashboard

• Log in to your Weglot Dashboard.
• Click on the “Billing” tab.
• Select “Card & Invoices” from the left-hand menu.

2️⃣ Enter Your VAT Number

• Locate the “VAT NUMBER (ONLY FOR BUSINESS)” field.
• Enter your VAT number in the correct format for your country.

3️⃣ Save Changes

• Double-check the accuracy of your VAT number.
• Click “Save” to update your billing details.

💡 VAT Number Format

The VAT number format may differ according to your country. If an error message is returned regarding the VAT number format, please consult the tab below:

My Invoice Includes an Incorrect Tax Amount

If your invoice shows an incorrect tax amount, it could be due to:

🚨 Possible Reasons for Incorrect Tax Charges:

• Missing VAT Number: A VAT number was not added to your account.
• Invalid VAT Number: The VAT number provided is incorrect or not recognized.
• Non-Registered VAT Number: Your VAT number is not registered for intra-EU transactions.
• Incorrect Billing Address: Your billing address may be incorrect or outdated.

🔧 Action Steps to Fix This:

• Log into your Weglot Dashboard and update your VAT number and billing information (see the steps to follow in "How to Add or Modify Your VAT Number").
• Use the VIES VAT number validation tool to check if your VAT number is valid and correctly registered for intra-EU transactions.

Can I Get a Tax Refund from an Incorrect Tax Amount ?

⛔ Refunds are not available if the incorrect tax charge was due to:

• Not adding your VAT number.
• Entering an invalid VAT number.
• Your VAT number not being registered for intra-EU transactions.

📩 If you believe the incorrect tax amount is due to another issue, please contact our support team:

📧 support@weglot.com