• Hi

    Being in EU with vendors around the world, I have to have prices exclusive of VAT when entered. However, I have to include VAT presented to B2C. When asked for a price, chatbot grabs the exclusive VAT price which is illegal. To complicate matters further. VAT for DK is 25%, VAT for austria is 19% and VAT for US is 0%. In other words, integration with woo should ask for country or suggest the geolocated one. Then check if prices are incl or excl and finally check the woo look-up table of National VAT.

    Has anyone a fix here, cause this is truly not cool.

Viewing 2 replies - 1 through 2 (of 2 total)
  • Plugin Author senols

    (@senols)

    Hi @hebhansen

    Thanks for reporting this.

    At the moment, our plugin retrieves the price information directly from your product. I will check if there are any other price fields in WooCommerce that we can use for retrieval.

    Thread Starter hebhansen

    (@hebhansen)

    Hi @senols

    My advice is to not take this lightly. If you wish AI Power to be legal within the EU you must comply to this. The law in Denmark where I recide: B2C trade must at all times include and present VAT to the consumer throughout the order flow. Shop > Mini Cart, Cart, Checkout, Frontpage or AI Bot. If not I am obliged to sell for the given price incl of VAT. That’s a 25% loss right there….

    Further EU Legislation. You may charge VAT on a delivery basis, hence, Austrian VAT for shippings there, Danish VAT for shippings there.

    In other words. Chat bot and all AI under WP/Woo must follow the woo algorythm since price is not a constant. It’s a cascade of dependencies.

    Q: What’s the price for your cheapest product?

    AI: One moment please …

    1. Check if tax is enabled
    2. Check if prices are entered incl or excl of VAT
    3. Check if price is presented incl of VAT for this user (If wholesale role it might not)
    4. Check what tax class applies fx “Standard Rate”
    5. Get the geolocation from woo – Let’s assume “Belgium”
    6. Jump to the Standard Rate table and check if a VAT is given for Belgium
    7. If not assume no VAT, If yes get the VAT rate for Belgium (21%)
    8. Calculate price for the answer to this specific user, with hers/his specific role. If prices are entered incl of VAT then that is the end user price. If not then 21% is added to the price entered in Woo and then presented to the end user.

    I guess point is. Woo does calculation to encompass the world and all legislation. So the calculated price concidering geolocation, user role and VAT is the one AI Power should get and then present:

    AI: Hi Buddy: The cheapest product in our store is Lurpak Butter. It’s actually on sale this week. According to the information I have you are shopping from Belgium. The price for Lurpak Butter is € 2 per unit incl. 21% vat. Grabbing 5 sells for € 5 only incl. vat, so that’s half price right there. If Belgium is not correct please turn off your VPN or let me know your shipping address and I will recalculate for you. Here is the link to Lurpak Butter if it has caught your interest:

    theawesomeshop.com/products/lurpak-butter

    What Chat Bot does now is to throw out prices. Then when visiting the link to product, the price is another. That leaves a bad impression and potential customers will feel cheated…

    I hope this enlightens the issue. Woo was extremely SLOW to fathoum that this is the law in all EU, but I trust that David started influencing things over there. Please note:

    A price presented to consumers is bound by law. This is the price and VAT cannot be added after unless it explicitly says. Price is excl. of VAT.

Viewing 2 replies - 1 through 2 (of 2 total)
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