Display prices Excluding tax for B2B users and Including tax for B2C users in WooCommerce - Configuring Tax Exemptions.

B2BKing allows you to display prices inclusive of tax for B2B, and excluding tax for B2C.

Tax can be removed completely, or it can be removed from shop pages but added to the cart and checkout pages.

Here's how to configure this:

Step 1) WooCommerce Settings #

The following configuration is recommended.

Go to WooCommerce-> Settings-> Tax and set the following:

  • Display prices in the shop: including tax
  • Display prices during cart and checkout: including tax

In WooCommerce -> Settings -> Tax -> Standard Rates, make sure rates are set:

If tax percentage rates are not set for your customer's billing country, the tax exemption will not work!

Step 2) Tax Exemption #

Configure a tax exemption by going to B2BKing-> Dynamic Rules-> Create a new rule, and set the following configuration:

  • Rule type: Tax Exemption
  • Applies to: All registered B2B users
  • Select which countries this should apply to (CTRL+A to select all, if all countries)
  • Requires: Nothing
B2BKing Tax Exemption Configuration

After you followed these steps, B2B users should now see prices exclusive of tax.

Require VIES-Validated VAT ID #

You may want to exempt from tax only users who have provided a valid EU VAT number. To do this, you can choose "Requires: VIES-Validated VAT ID":

Important Note: If you set it to VIES-validated VAT ID, it will only work for customers who have added and validated a real EU VAT number.

The VIES checkbox must be enabled for your VAT field in B2BKing -> Registration field, prior to customers adding VAT numbers.

VIES must be enabled for exemptions set to "VIES-validated VAT ID" to work.

Validate VAT Numbers During Checkout #

The easiest setup, and our recommendation, is to disable checkout for logged out users (forcing users to log in in order to order). This is our preferred approach as it avoids various issues and potential conflicts.

To do this, go to WooCommerce -> Settings -> Accounts and disable guest checkout:

This way, VAT numbers are only verified during registration. You can also make the VAT field required in B2BKing -> Registration Fields -> VAT, so that only users with a valid VAT number can register on the site.

Another option that you have available is to validate VAT numbers during checkout.

To do this, you can go to B2BKing -> Settings -> Other and enable the "Validate VAT button at checkout" setting.

This will add the following button to checkout:

If this button is clicked and a valid VAT number is entered, it will add and apply a tax exemption, automatically removing tax.

Note: For this tax removal to work for logged out users, you must set the tax exemption rule to include logged out users, and you must set it to "Requires: VIES-Validated VAT ID". For example:

Additional Information #

Option: Pay Tax in Cart #

You may want B2B users to see prices exclusive of tax, but finally pay the tax in cart / checkout to comply with your country's regulations. To do this, you can use the option "Pay Tax in Cart: Yes" in tax exemption configuration.

Option: Withholding Tax #

To display tax in cart but not require B2B users to pay it, you can use the option "Pay Tax in Cart: Withholding Tax".

Doing this will add the tax as a non payable subtotal (informational only).

This is equivalent to the French "retenue à la source" or Italian "ritenuta d'acconto".

Zero Tax Products #

In various circumstances you may want to remove tax from only specific products or categories. To do this, use B2BKing's Dynamic Rule: Zero Tax Products. This rule allows you to select specific products or categories and specific user groups.

Configuration example for the "Clothing" category with Zero Tax Products

Code Snippets #

For a list of code snippets and some other useful information, please also see the VAT and VIES validation article.

Troubleshooting - Common Issues #

If you experience tax exemption issues, here are a few things to check:

  • Generally please note the plugin may conflict with other EU VAT compliance plugins, so we recommend you deactivate all other such plugins on your site.
  • In most cases we do not recommend enabling B2BKing->Settings->Other Settings->VAT-> "Within EU, require delivery country to be different than shop country for VAT exemption.", as it can create exemption issues. It is only for niche cases.
  • If your exemption is set to "Requires: VIES-validated VAT ID", please note it will only work if the VIES checkbox is enabled, and if the customer has added (and validated) a real EU VAT number.

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