Title: VAT setup within EU
Last modified: April 20, 2021

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# VAT setup within EU

 *  Resolved [marissawaite](https://wordpress.org/support/users/marissawaite/)
 * (@marissawaite)
 * [5 years ago](https://wordpress.org/support/topic/vat-setup-within-eu/)
 * Hi guys,
 * This shop is based in the UK and sells all over Europe (and worldwide). I have
   this set up with the following tax settings so that we can have the UK charged
   20% VAT and everywhere else at 0% VAT (ie not being applied at checkout).
 * – Prices are entered inclusive of tax
    – Prices displayed in shop including tax
   with display suffix (ex. VAT {price_excluding_tax}) – All country codes and tax
   entered for 0% VAT in standard rates with priority of 1 – Recently had to change‘
   calculate tax based on…’ option to select ‘shop base address’ as we randomly 
   had the shop prices showing the same for main price and suffix price with or 
   without VAT. However, when testing this doesn’t seem to make a difference.
 * For example, we had one order yesterday from Guernsey (set up for 0% VAT) which
   was still charged 20% VAT at checkout, and another from Poland (set up for 0%
   VAT) which was also charged 20% VAT at checkout.
 * I feel I’ve missed something simple but cannot seem to resolve this, any help
   at all from you guys would be so appreciated.
 * Thanks so much in advance!
 * The page I need help with: _[[log in](https://login.wordpress.org/?redirect_to=https%3A%2F%2Fwordpress.org%2Fsupport%2Ftopic%2Fvat-setup-within-eu%2F%3Foutput_format%3Dmd&locale=en_US)
   to see the link]_

Viewing 4 replies - 1 through 4 (of 4 total)

 *  Plugin Support [mcampal – a11n](https://wordpress.org/support/users/mcampal/)
 * (@mcampal)
 * [5 years ago](https://wordpress.org/support/topic/vat-setup-within-eu/#post-14347301)
 * Hi there,
 * If the option ‘Calculate Tax Based On’ is set to ‘store base address’, taxes 
   are always based on your store location and not your customer’s location. This
   will result in the 20% VAT always being included at checkout.
 * If you want to display the 20% VAT by default but only apply for customers purchasing
   from the UK, I would suggest setting the ‘Calculate Tax Based On’ option to ‘
   Customer billing address’ and set the ‘Default Customer Location’ setting from**
   WooCommerce > Settings > General > Default Customer Location** to the ‘Shop Base
   Address’.
 * This way the 20% VAT will be included at checkout only if the customer’s billing
   address is from the UK.
 * Hope this helps!
 * Best,
 *  Thread Starter [marissawaite](https://wordpress.org/support/users/marissawaite/)
 * (@marissawaite)
 * [5 years ago](https://wordpress.org/support/topic/vat-setup-within-eu/#post-14348659)
 * Hello!
 * Thank you SO much for your help, I really appreciate it. This seems to have solved
   the issue now.
 * The only reason I changed the ‘calculate tax based on’ option is because we were
   randomly getting both the price and the ex VAT suffix showing the ex VAT price
   and changing that option was the only thing that seemed to fix it. I will keep
   an eye on it, but can you please advise if you’ve run into that issue before 
   and if so, how we can solve that please?
 * Thanks so much!! Have a great day 🙂
 *  Plugin Support [mcampal – a11n](https://wordpress.org/support/users/mcampal/)
 * (@mcampal)
 * [5 years ago](https://wordpress.org/support/topic/vat-setup-within-eu/#post-14359683)
 * Hi there,
 * I’m glad to hear that the problem is solved now 🙂
 * WooCommerce allows shop owners to automatically geolocate customers and display
   tax rates and shipping methods specific to a customer’s location. In order to
   determine the correct location for a customer, WooCommerce uses an integration
   with MaxMind Geolocation.
 * I would suggest going through this guide to enable customer’s geolocation with
   the MaxMind Geolocation Integration:
    [https://docs.woocommerce.com/document/maxmind-geolocation-integration/](https://docs.woocommerce.com/document/maxmind-geolocation-integration/)
 * Best,
 *  [MayKato](https://wordpress.org/support/users/maykato/)
 * (@maykato)
 * [5 years ago](https://wordpress.org/support/topic/vat-setup-within-eu/#post-14388690)
 * Hi [@marissawaite](https://wordpress.org/support/users/marissawaite/)
 * We’ve not heard back from you in a while, so I’m marking this thread as resolved.
   If you have further questions, please feel free to open a new topic.

Viewing 4 replies - 1 through 4 (of 4 total)

The topic ‘VAT setup within EU’ is closed to new replies.

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## Tags

 * [EU VAT](https://wordpress.org/support/topic-tag/eu-vat/)
 * [tax rates](https://wordpress.org/support/topic-tag/tax-rates/)
 * [tax settings](https://wordpress.org/support/topic-tag/tax-settings/)
 * [vat](https://wordpress.org/support/topic-tag/vat/)

 * 4 replies
 * 3 participants
 * Last reply from: [MayKato](https://wordpress.org/support/users/maykato/)
 * Last activity: [5 years ago](https://wordpress.org/support/topic/vat-setup-within-eu/#post-14388690)
 * Status: resolved