HelloProfit now allows merchants to configure their UK account Merchant Settings to deduct for their estimated VAT.
Note: HelloProfit does not provide tax advice and will not be liable for user input in UK VAT Settings.
HelloProfit currently has 2 settings for VAT. You will want to make sure you are using the setting that best suits your situation.
To find your UK VAT Settings, make sure you currently have your UK Merchant selected on the main dashboard, and navigate to the blue Merchant Options button in the top right and select Settings. You will find your VAT Settings under the VAT Settings section.
- If you are enrolled in Amazons VAT Calculation service:
You will want to enable the option 'Amazon Deducts Vat Automatically' this will make it so our system is using the tax amount that Amazon attaches to an order once it ships.
- If you are not enrolled in Amazons VAT Calculation Service:
You will want to make sure the option 'Amazon Deducts Vat Automatically' is disabled. Then enter your desired VAT Factor into the text box. HelloProfit will then calculation in realtime what your VAT Amount is based on this factor.
VAT will then be deducted on your Dashboards under the Est. Profit information pop-up, in Product Stats, on Order Details for UK Orders, and on your UK Payout Reports.
Note: The setting you enter as described above is not a percentage but a factor (most commonly used factor is 1.2). The calculation used in HelloProfit for VAT is:
gross sales - (gross sales / factor).
You may refine this factor as needed until the particular output you expect is achieved.