Magento VAT issue

0
votes

I am finalising my Magento store but have the following problem:

UK VAT registered store. VAT rules set up using following: http://www.mcnab.co/blog/e-commerce/magento/magento-vat-setup-for-countries-trading-worldwide/

Product price is set at £36 and VAT standard.

In Config > Sales > Tax, I have set both product and shipping to inclusive of tax.

In Config > Sales > Shipping Settings, I have set Origin to UK.

When I check out as EU customer, price is correct (£36 - including £6 of VAT). When I checkout as Non-EU, price is incorrect (£30 - the EU price excluding VAT, it should by £36 with £0 VAT).

I've searched extensively, but only solutions I can find to this problem are the two configuration settings shown above. I'm running Magento 1.8.1, going crazy over this and hoping someone can put me out of my misery?

Thanks!

1
magentomagento-1.8

1 Answers

0
votes

You might have already had the answer to this, so apologies if that is the case.

This is an accounting issue not a settings issue. VAT is not chargeable on 'export' sales outside of the EU, hence why the VAT element of the price is dropped.

Hope that helps.

Sparky