DSF

Over the past Two days I have spent the time exclusively adding products to my new shop.

In the 'Pricing' section, I have ticked 'Standard Tax' and that, that 'Standard Tax' is Included - Does the above mean I need to go through every product again and select the 'Tax Exempt' option ?

I am not VAT registered.

NikGrey;78982 wrote:Over the past Two days I have spent the time exclusively adding products to my new shop.

In the 'Pricing' section, I have ticked 'Standard Tax' and that, that 'Standard Tax' is Included - Does the above mean I need to go through every product again and select the 'Tax Exempt' option ?

I am not VAT registered.

you should click on tax included if your not vat registered as you can't supply a vat receipt. If there are only 2 boxes for you tick then the most appropriate one would be tax exempt although strictly this isn't true. Tax exempt would be for a zero rated vat product like baby or children's clothing. Your prices will have to record the price you sell at which will include the vat paid on your purchases but will represent the selling price you want. They will include all costs and profit margins but cannot show vat on the selling price separately unless you are vat registered. You need a box that is silent on vat and your not charging it.

When it comes to VAT and ecommerce shops you have to think long term and it depends if you are selling to businesses or consumers. Most consumers are not bothered about VAT, but businesses will be.

Tick the box that says "price includes VAT", but set the VAT rate to zero.

When you require VAT to be applied to your goods, set the rate to whatever the current VAT rate is.

On some shopping cart software you can remove/change the labels, so you edit/hide those relating to VAT. Ensure you say on your website's terms and conditions and checkout pages that you are not VAT registered.