Understanding VAT with Printumo

Taxes can be confusing, especially when running a print-on-demand business. While Printumo automatically applies VAT for EU orders and produces tax-compliant invoices, users are responsible for handling taxes on their own sales.

To avoid unexpected costs or compliance issues, ensure you are registered where necessary, adjust your pricing accordingly, and keep up with tax filing requirements. If you're unsure about your tax obligations, consult a tax professional for guidance.

How VAT is applied on your Printumo orders

The VAT rate on your orders depends on several factors:

Your location – Are you based in the EU or outside?
Your VAT payer status – Are you registered as a VAT payer in the EU?
The shipping destination – Where is the order being shipped?
The production country – Where is the order getting produced and shipped from?

When you purchase through Printumo, any applicable taxes will be shown at checkout and as a separate line item on your invoices. Your invoice will also include Printumo’s tax ID.

Reverse charge

If you’re an EU VAT-registered business and provide a valid VAT number, VAT won’t be charged on orders shipped within the EU. Instead, you’ll account for VAT in your own country.

This is due to the reverse charge mechanism, which shifts the responsibility for reporting and paying VAT from the supplier (Printumo) to you. This system helps simplify VAT transactions and ensures it’s applied correctly across EU countries.

Important: The reverse charge applies only if you provide a valid VAT number. Otherwise, Printumo will charge VAT as usual.

How to handle VAT for your customers on your shop

As a Printumo user, you are responsible for handling VAT on your sales. This article gives a general overview of tax considerations. Be sure to check with a tax specialist to stay on top of your specific obligations.

Here’s what you should consider:

Register for VAT if required

If you are selling to customers in the EU and exceed the distance selling threshold (EUR 10,000 across all EU sales), you may need to register for VAT in an EU country or use the OSS (One-Stop Shop) system.

If you are selling in the UK, you may need to register for VAT with HMRC, especially if you store goods there or exceed the VAT threshold.

Charge VAT on your sales

If you are VAT-registered, you must charge VAT to your customers based on their location.
For EU customers, VAT rates vary by country.
For UK customers, charge 20% VAT if applicable.
For customers outside the EU and UK, VAT is generally not charged, but import taxes may apply.

Here are the standard VAT rates for some key EU countries:

Austria: 20%
Belgium: 21%
Czech Republic: 21%
Denmark: 25%
France: 20%
Germany: 19%
Ireland: 23%
Italy: 22%
Netherlands: 21%
Poland: 23%
Spain: 21%
Sweden: 25%

Printumo is not a financial or tax advisor, for specific questions related to VAT we recommend you reach out to your accountant.