As online marketplaces reach increasingly global audiences, Vertex for Marketplaces helps marketplace businesses comply fully with changing international tax regulations.
Online marketplace operators selling into Europe face a complex challenge of VAT/GST liability, tax calculation, and currency conversion according to the latest marketplace facilitator rules in every country. Making sure the correct VAT/GST is charged on every invoice, and the VAT amount is remitted to the proper jurisdictions each month adds steps to the marketplace operation.
Vertex for Marketplaces integrates with your e-commerce or marketplace platform to automate invoicing and tax, keeping you current on the latest country and local rates and rules, and streamlining the seller and customer journey so you can focus on accelerating growth.
A continually updated database of tax rules and rates support the latest regional and jurisdiction-specific VAT/GST requirements for Europe. You’ll increase confidence in tax determination and reduce audit risk.
Validate business tax numbers in real-time allowing your business to offer reverse charge (no VAT/GST charge) to business customers in countries that support the reverse charge rule.
An automated assessment of the four key factors for assignment of VAT/GST liability for online marketplaces - where the customer is, what the goods are, what the value of the goods are, and where the underlying seller is.
Robust calculation engine delivers tax calculation per line item according to product categorisation, tax liability rules, VAT/GST rates, and currency conversion.
Whether your sales now require multiple invoices per basket, chains of invoices from seller to platform to customers, self-billed invoices or up to 27 EU invoicing requirements to comply with, it’s all automated in the sales journey including with buyer and back-to-back invoicing.
Integrate the solution to your e-commerce or marketplace platform using APIs. Once integrated, merchants can automate the addition/updating of products from their source systems via an API call.
Contract with one of our service provider partners for registration services and monthly compliance services for marketplace operator and sellers – including report generation, filing, and remittance to taxing jurisdictions.
LILA is the real-time determination of tax liability at the line-item level. For example, in a customer’s checkout basket there may be multiple products from different sellers and for different prices. It is conceivable that each line item also results in a different tax liability assignment. The marketplace operator could be liable for the collection and remittance of tax on some products, while the sellers on the same marketplace may be liable for tax collection/remittance on others. The LILA feature in Vertex for Marketplaces automatically calculates how thresholds and the origin of the goods may affect liability, including converting the sale currency to the threshold currency where applicable.
Product Details: Vertex for Marketplaces
Streamline and automate VAT/GST filing reports and returns to improve compliance and audit performance.
Leverage machine learning to streamline the product mapping process.
