Configuring VAT by Zone

VAT Settings Overview

RapidQuote3D lets you configure VAT (Value Added Tax) independently for each delivery zone. This is essential for businesses that sell internationally, as VAT rates and obligations vary by country and region.

Accessing VAT Settings per Zone

1. Navigate to Settings > Delivery.
2. Click on the delivery zone you want to configure.
3. Scroll to the VAT section within the zone settings.

Setting the VAT Percentage Rate

Enter the VAT rate as a percentage in the VAT Rate (%) field. Common examples:

• 20% for the UK standard rate.
• 21% for several EU countries (e.g. Belgium, Netherlands).
• 0% for zones where VAT does not apply (e.g. exports outside the EU/UK if you are not registered for VAT in those regions).

The rate you enter is applied to the order subtotal (after any discounts) when a customer’s delivery address falls within this zone.

VAT Applicable Toggle

Each zone has a VAT Applicable toggle. When turned off, no VAT is charged for orders delivered to that zone, regardless of the percentage rate entered. This provides a quick way to exempt entire regions from VAT without deleting the rate configuration.

For example, if you sell to both UK and US customers, you would enable VAT for your UK zone (20%) and disable it for your US zone.

VAT on Delivery Charges

Within each zone’s VAT settings, there is a Charge VAT on Delivery option. When enabled, the VAT rate is also applied to the delivery charge. In the UK, VAT is typically charged on delivery costs, so this should usually be enabled for UK zones.

When disabled, VAT is only calculated on the product subtotal and the delivery charge remains tax-free.

How VAT Is Displayed to Customers

During checkout, customers see the VAT amount as a separate line item in their order summary. The display depends on your global setting in Settings > General > Tax Display:

• Prices Exclusive of VAT – Product prices are shown without VAT, and VAT is added as a separate line at checkout. This is the most common approach for B2B businesses.
• Prices Inclusive of VAT – Product prices already include VAT, and the VAT amount is shown as a breakdown. This is common for B2C businesses.

VAT on Invoices

Order confirmation emails and invoices automatically include:

• Your VAT registration number (set in Settings > General > Business Details).
• The VAT rate applied to the order.
• A breakdown showing subtotal, VAT amount, delivery, and total.
• If VAT was charged on delivery, this is shown separately.

Ensure your VAT registration number is entered in your business details so it appears on all customer-facing documents.

Common Configuration Scenarios

Scenario	VAT Applicable	Rate	VAT on Delivery
UK domestic sales	Yes	20%	Yes
EU sales (VAT registered)	Yes	Country-specific	Yes
EU sales (B2B reverse charge)	No	–	–
Rest of World exports	No	–	–

If you are unsure about your VAT obligations for international sales, consult your accountant or HMRC guidance.