European taxation (VAT)

Value-Added Tax (VAT) is a tax levied on goods and services sold within the European Union (EU). iMIS supports VAT, so you can tailor your organization’s taxation method for the EU member countries in which you have operations. Applicable taxes then will be calculated automatically based on a customer’s country.

To charge VAT, you multiply the net price by the VAT rate (to calculate how much VAT to charge) and then add that amount to the net price to give the gross (inclusive) price:

Net price = £100
+ VAT due at 20% = £20
= Gross price = £120