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Tax collection updates - July 1st, 2017

Overview

As your dedicated provider of commerce services, it is 2Checkout's, formerly Avangate's, responsibility to stay up to date on worldwide financial and legal requirements to make sure you benefit from a seamless and fully compliant international buying and selling experience. 

To support the expansion of our global capabilities while adhering to latest worldwide tax regulations, we're updating our country tax matrix. 
We're implementing this change according to local legislation applicable to cross border sales of digital products and services.

Impact on your business

Depending on your location, transactions will be subject to the following tax rates when selling to shoppers based in the countries included below, starting with July 1st, 2017.

Country Taxable products/services Transaction type Tax rate Applicability (based on merchant location)

India

All

B2C only

18%

Foreign vendors

New Zealand

All

B2C only

15%

Foreign vendors

Australia

All

B2C only

10%

Foreign and domestic vendors

Taiwan

All

B2C only

5%

Foreign vendors

South Africa

All except software*

B2C and B2B

14%

Foreign vendors

Serbia

All

B2C and B2B

20%

Foreign vendors

* Taxable services: educational services, games and games of chance, Internet-based auction services, miscellaneous services such as e-books, audio visual content, still images and music.

Since you're working with us, your shoppers will be automatically charged the correct VAT or GST, as applicable, per the above table, with no additional effort on your part.

Please feel free to contact our Support Team (supportplus@avangate.com) or your account manager should you have any questions regarding this update.