VAT Applied Despite Valid VAT ID; VAT Exemption Issues on Orders

  • Resolved mom4i911024

    (@mom4i911024)


    6 months, 4 weeks ago

    Hi there,

    We’re encountering a puzzling issue across some of our shops where VAT ID validation is enabled. Despite customers providing valid VAT IDs, taxes are still being applied to their orders, rather than the orders being tax-exempt as expected. Conversely, we’ve also noticed instances where orders become VAT exempt even though no VAT ID was provided by the customer.

    For example, on a recent order where the customer’s valid VAT ID was recorded, taxes were still included. However, when I tried to place another order using their account, the taxes were correctly excluded at checkout.

    This issue is proving to be quite difficult to track down, so any insights you might have would be greatly appreciated. Do you have any idea what could be causing this discrepancy?

    Thanks in advance for your help!

Viewing 6 replies - 1 through 6 (of 6 total)
  • Plugin Author vendidero

    (@vendidero)

    Hi there,

    could be a cache-related issue or an issue with missing VAT ID in a possible (differing) shipping address? Which Woo checkout are you currently using (classic shortcode or block-based?

    PS: Please use our help desk on support for out professional version: https://vendidero.de/dashboard/help-desk

    Best,
    Dennis

    Thread Starter mom4i911024

    (@mom4i911024)

    Are you referring to the VAT ID cache option in Germanized’s settings? It was set to 7 days, but I’ve now disabled/cleared it. Do you think this will resolve any future issues?

    The shipping address for the order is indeed different, and the VAT ID field is empty there. However, I just tested a new order where the billing address had a VAT ID, while the shipping address did not, and the taxes were still excluded correctly so unfortunately it seems this isn’t the root of the issue.

    We’re using the classic checkout shortcode.

    Plugin Author vendidero

    (@vendidero)

    Hi there,

    Are you referring to the VAT ID cache option in Germanized’s settings? It was set to 7 days, but I’ve now disabled/cleared it. Do you think this will resolve any future issues?

    No, not the VAT ID cache in Germanized – I was referring to third-party caching solutions..

    The shipping address for the order is indeed different, and the VAT ID field is empty there. However, I just tested a new order where the billing address had a VAT ID, while the shipping address did not

    Does the shipping address differ in your tests? Only when there is a separate/differing shipping address the system will check the shipping VAT ID to make sure whether a VAT exempt is possible or not.

    Best,
    Dennis

    Thread Starter mom4i911024

    (@mom4i911024)

    Yes, it differs, but for some reason, it wasn’t working as you described on my production installation, even with only Germanized and WooCommerce active. I tested it locally on a fresh installation and saw how it’s supposed to work. I’ll need to troubleshoot the issue on the production site, but it seems that the problem might be related to the different billing and shipping addresses. Thank you for pointing me in the right direction!

    Thread Starter mom4i911024

    (@mom4i911024)

    Hi,

    I have a follow-up question regarding VAT validation in Germanized. Specifically, is it possible to configure the validation process to always use the billing_vat_id field, even when a different shipping address is provided?

    I attempted to use the woocommerce_gzdp_checkout_supports_shipping_vat_id filter, but it seems to disable the shipping VAT field entirely, which in turn stops VAT validation when a separate shipping address is used.

    Is there an alternative approach provided by Germanized to achieve this, or would a custom solution be necessary?

    Thank you for your help!

    Plugin Author vendidero

    (@vendidero)

    Hi there,

    no, there is no such option as the shipping address is relevant for taxation purposes. Your idea would trigger a vat exempt even though a customer chooses a billing country within the EU (different from your base country) + a differing shipping country in your base country or a third country..

    Best,
    Dennis

Viewing 6 replies - 1 through 6 (of 6 total)
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