VAT not being charged based on shipping address when configured this way

  • Resolved Michael

    (@michaelpereira)


    4 years, 3 months ago

    Hello,

    We’ve noticed some odd behaviour with Tax calculations based on our settings.

    Tax Options
    – Prices are inclusive of tax
    – Calculate tax based on custom shipping address
    – Display prices including tax, single total
    – Forbid EU VAT checkout is disabled

    Plugin Settings
    Relevant tax classes Standard & Reduced
    Same net prices everywhere is disabled
    Customer address defaults to Geoip

    Readiness report is all good.

    The Problem
    On the checkout if I set my Billing address to a non-EU country such as China or Canada then proceed to set a different shipping address for a EU country such as the UK then I’m not charged VAT, and the products net price is also reduced.

    Testing on a default theme did not change this functionality, and enabling same net prices everywhere did not start charging VAT but did resolve the produce price being reduced down.

    Disabling this plugin resolves the VAT calculations as it works as expected based on the WooCommerce Tax settings and Tax Rates table.

    Is there something I’m missing around Tax laws, or settings, or is this actually a bug with functionality?

    Thanks.

Viewing 1 replies (of 1 total)
  • Plugin Author David Anderson / Team Updraft

    (@davidanderson)

    Hi Michael,

    When you enable the plugin, it will advise WooCommerce of the customer’s location based upon their IP address. This means that WooCommerce will use that country when calculating taxes, before getting to the checkout. There is no functionality, either in the plugin or in WooCommerce, for reducing a product’s base price (other than WooCommerce’s “same net price” feature, which you’ve said you’re not using).

    To turn off the geolocation, add this after the opening <?php in your wp-config.php:

    define(‘WC_EU_VAT_NOCOUNTRYPRESELECT’, true);

    David

Viewing 1 replies (of 1 total)
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