Invoicing glossary
VAT (value-added tax)
VAT (value-added tax) is a consumption tax added at each stage of the supply chain and ultimately paid by the end customer.
VAT (value-added tax): a clear definition
If you're VAT-registered, you charge VAT on your invoices, show it separately, and pay the VAT you've charged, minus the VAT you can reclaim on your own business purchases, to the tax authority. Invoices that include VAT usually must show your VAT number, the rate applied, and the tax amount. Rates and rules vary by country.
VAT (value-added tax) in Invco
Invco calculates the tax for you: set a VAT rate on each line item and it works out the tax and the total. Your client's VAT number can print on the invoice, and you can add your own to your template. Invco doesn't file VAT returns.
Invco is invoicing software for people who run more than one company. Design your own invoice template or upload your existing invoice PDF, and Invco calculates subtotals, tax and totals, numbers each invoice sequentially and emails it as a branded PDF from your own address. Plans from $10/month.
Frequently asked questions
What is VAT (value-added tax)?
VAT (value-added tax) is a consumption tax added at each stage of the supply chain and ultimately paid by the end customer.
Does Invco handle VAT on invoices?
Invco calculates the tax for you: set a VAT rate on each line item and it works out the tax and the total. Your client's VAT number can print on the invoice, and you can add your own to your template. Invco doesn't file VAT returns.
What is sales tax?
Sales tax is a tax on retail sales, added at the point of sale and collected by the seller on behalf of the government.
Invoice the easy way with Invco
Design your invoice template, send branded PDFs from your own email address, and see what's paid and overdue for every company. Plans from $10/month, with a full refund within 7 days.
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