Easy Digital Downloads EU VAT Addon

Easy Digital Downloads EU VAT - Tax Compliance for Digital Sales

Easy Digital Downloads EU VAT is an extension for Easy Digital Downloads-based digital stores that simplifies VAT management for electronics sales within the European Union. The plugin automatically detects the buyer's location, applies the appropriate VAT rate, and incorporates B2B and B2C billing rules, helping you comply with EU regulations.

Key features of Easy Digital Downloads EU VAT

• Automatic determination of the VAT rate based on the buyer's country (IP geolocation or address field during order processing).
• Validation of EU VAT numbers by VIES with the option of excluding taxation in the case of a correct VAT number (reverse charge for B2B transactions).
• Possibility to display gross or net prices depending on the customer's country and store settings.
• Support for different VAT rates for individual EU countries and setting default rates.
• Integration with the Easy Digital Downloads checkout form – additional field for entering the VAT number and country selection.
• Configuration options for B2B and B2C sales, including hiding/displaying the VAT field depending on customer type.
• Registers and reports facilitating the generation of data required for VAT settlements and possible OSS (One Stop Shop) notifications.
• Compatibility with popular Easy Digital Downloads extensions, especially payment and price list modules.

Benefits for the seller of digital products

Implementing Easy Digital Downloads EU VAT reduces the risk of incorrect tax calculations and the associated fiscal consequences. Automatic customer segmentation by country and VAT number validation make store administration less time-consuming and tax settlements more transparent. Store owners gain greater confidence in international sales, can accurately present final prices to customers, and prepare accounting data more quickly.

Applications and use cases

• Sales of online courses, e-books, templates and plugins requiring VAT settlement according to the buyer's location.
• Educational platforms offering access to digital content to customers from various EU countries.
• Shops selling to both individual customers (B2C) and companies (B2B) need to distinguish and verify VAT numbers.
• Shops using the OSS mechanism or preparing monthly/quarterly VAT statements broken down by member state.

Configuration and integration

The plugin installs like a standard Easy Digital Downloads add-on. Once activated, settings are available to select the location method (IP or address field), map VAT rates, and enable VAT number validation via VIES. Thanks to its modular design, Easy Digital Downloads EU VAT works with existing payment and shopping cart processes, maintaining compatibility with existing products and pricing options.

Easy Digital Downloads EU VAT is a tool designed for digital stores that require accurate VAT calculation and reporting for cross-border trade. It allows for customized price presentation for customers in different countries and automates some tax-related administrative tasks, making it easier to conduct digital sales in the European market.