Solution: taxes in Germany vs WHMCS

[Kian]

Hi,

 

This thread is aimed to find a solution to German tax regulations. Even if I'm not German (actually I'm Italian) I know that your tax system is a bit tricky and that WHMCS doesn't respect your laws and this is really bad. I'm a developer and I want include in my module a solution. In order to achieve this, I need your help so that I can fully understand what you need.

 

Before we start discussing anything please keep in mind that I don't speak German so don't pretend me to understand what is written here: http://www.gesetze-im-internet.de I've already discussed this in past with other Germans and more recently with a client of mine so don't worry, I'm not a total idiot with your stuff. Let's go.

 

• Problem number 1 You are supposed to display prices on your website including taxes
  
• Problem number 2 You are supposed to display net amounts for invoice items and subtotal
  
• Problem number 3 In the same time you can't charge German tax to all your non-German customers and you must respect VAT MOSS regulations
  

Here's the possible solution I have in mind.

 

Solution to problem number 1

In your WHMCS you set all prices including taxes so that Angela Merkel is happy

 

Solution to problem number 2

I calculate net prices and replace them on invoices in a perfect way with no rounding errors so that Angela is still happy

 

Solution to problem number 3

Correct me if I'm wrong. Non-German customers should not pay german taxes. They have to pay taxes in accordance with tax rules defined in your WHMCS and in respect of VAT MOSS regulations. Example:

 

• An Italian customer (individual) should pay 22% IVA (Italian tax)
  
• A French (individual) should pay 20% TVA (French tax)
  
• A Spanish (business) shouldn't pay anything
  
• A Canadian (business or individual) shouldn't pay anything
  

Said that, when a non-German customer orders something on your website, I'm going to apply the right tax rate on all his invoices before he can pay it or receive a notification via email.

 

Is it good for you?