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Try demoVAT on digital services is the value-added tax many countries charge on software and online services sold to consumers there, usually at the customer’s local rate, wherever the seller is based.
The EU, the UK, Norway, Switzerland, Australia, India and many other countries require foreign sellers of digital services to charge their VAT or GST to local consumers, often from the first sale.
Business customers with a valid VAT or tax ID are usually handled by reverse charge: you do not charge VAT and the customer accounts for it. That is why checkout forms ask for a tax ID.
Sellers register through simplified schemes such as the EU One-Stop Shop, or use a merchant of record that handles it for them. Rules differ by country; check with a tax adviser.
Aikeedo collects billing addresses and tax IDs at checkout, tax add-ons add the right tax lines, and PDF invoices show the tax breakdown.
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A merchant of record (MoR) is the entity legally responsible for a sale: it processes the payment, collects and remits sales tax or VAT, and handles refunds and chargebacks.
A tax ID, such as an EU VAT number, identifies a business for tax; customers enter it at checkout so it appears on invoices and, where it applies, VAT is reverse-charged.
An invoice is the formal billing document for a sale, showing seller and buyer details, items, amounts, tax and a sequential number; businesses need one to reclaim tax.