Jacques,
thanks for starting this interesting thread and for providing these
great links.
Just a side note: I've moved the old wiki page
to my personal space in the new Documentation site:
http://docs.ofbiz.org/display/~jacopoc/OFBiz%27s+Tax+Authority+Data+Model
because I think it's a great resource for understanding the OFBiz's tax
auth data model; David Jones is the author of this document and as soon
as the content of that page is updated and cleaned up I'd me more than
happy to move it to one of the official Confluence spaces: David, could
you please confirm that my assumption (see my note in the very last line
of the document) about a typo in your original message, is correct?
Thanks,
Jacopo
Jacques Le Roux wrote:
Hi Si,
Thanks for you interest in this
Can you post all of this on that JIRA issue you created for VAT?
I'll try to help out when I have a chance.
OK, done : http://issues.apache.org/jira/browse/OFBIZ-366
Also same regarding the invoice header thing--I'll take a look at it
later. Can you confirm that Eriks is right--is a tax authority Id in
the bill-to geo really required in EU? (Funny, it's the exact
opposite of the US...)
Yes Eriks correctly explained the EU rules. The Value Added Tax (VAT) ID number
applies only if you are placing a business order for
a business in the European Union that has a current VAT ID. For all other
orders, you should leave this field blank. So this is a
B2B only rule. Eriks also added the VAT ID of the seller. This is right too,
both fields are mandatory for B2B in EU. In this case
no VAT is charged (VAT Exemption).
Here is an interesting link explaining simply (good examples) how that works :
http://www.apptranslator.com/blog/2006/03/should-you-charge-vat-to-whom.html
And last but not least a VAT : Definition, history, and more (VAT was invented
by a french, sorry for that ;o) :
http://en.wikipedia.org/wiki/Value-added_tax
I put all this also in the Jira VAT issue (366)
Jacques
