Prices include VAT

Updated 15 September 2026

What is it?

Many shops show prices with VAT included. With “Prices include VAT” turned on, the plugin doesn’t add VAT on top of your prices. Instead it shows how much VAT is already in the price. The total your customer pays stays the same.

How to use it?

Open the settings of the EU VAT field and tick “Prices include VAT”. Save the form. That’s it.

What your customer sees

The VAT field shows the VAT that is in the price. The total doesn’t change. In the order summary the VAT gets its own line, “Includes VAT (21%)”, which is not added to the total.

The VAT in the price is calculated as price × rate / (100 + rate). A product of €121 at 21% contains €21,00 VAT.

Which rate is in the price?

Your customer always pays the same price. Which VAT rate the plugin uses to calculate the VAT in that price depends on the customer and on your settings:

What this means for your revenue

Because the price stays the same while the VAT rate changes, the part you keep changes with the country of your customer. Example: your default tax country is the Netherlands (21%) and the product costs €121.

This is normal when you sell to consumers in other EU countries at one price that includes VAT: you pay the VAT of each customer’s country out of the same price. If you would rather keep the same revenue from every customer, don’t use this setting and enter your prices without VAT. The plugin then adds the VAT of each country on top.

Business customers with a valid VAT number

When a customer from another EU country validates their VAT number, the reverse charge applies and they should not pay VAT. The plugin then takes the VAT out of the price, calculated at the rate of your default tax country, because that is the VAT you included in your prices. The customer pays the price without VAT.

Example: your default tax country is the Netherlands (21%) and the product costs €121. A Belgian company with a valid VAT number pays €100. The order summary shows “VAT reverse charged (removed) -€21,00”.

Customers outside the EU

When “Apply VAT worldwide” is off, the EU VAT field is hidden for customers outside the EU. They pay the full price and no VAT is recorded, so the whole amount is your revenue. The VAT is not taken off their price, the way it is for a business customer with a valid VAT number.

When “Apply VAT worldwide” is on, customers outside the EU are treated like customers in your own country: the price contains VAT at the rate of your default tax country. See Billing address and EU countries.

Which settings to combine

Which combination fits depends on what you sell and to whom:

• You sell mostly in your own country, or you are allowed to charge your own VAT rate to consumers in other EU countries. Also turn on “Disable variable VAT”. Every consumer then pays your own rate, and your revenue is the same for everyone. See VAT rates for when that is allowed.
• You charge consumers the VAT of their own country (One-Stop Shop). Leave “Disable variable VAT” off and always link the billing address. Without a billing address every customer gets the rate of your default tax country. Enter your prices including the VAT of your own country, and expect your revenue to vary a little per country.
• You sell mostly to businesses, or you want the same revenue from every customer. Don’t use “Prices include VAT”. Enter your prices without VAT and let the plugin add the VAT on top.
• You also sell outside the EU. Decide whether customers outside the EU should pay VAT, and set “Apply VAT worldwide” to match. With this setting off, they pay the same price as EU consumers.