Value-added Tax (VAT) is a common type of tax levied on the actual transaction value of a product or service in more than 190 countries in the world.
Air travel is usually exempted from VAT. In the EU, many members state exempt tickets for domestic trips from value-added tax (VAT) and all states exempt intra-EU airline tickets.
How does FL3XX help you calculate VAT in your sales transactions?
Settings
You can set your VAT details in Company Settings, under Operator, as shown in the screenshot below:
- VAT number
- VAT for domestic flights [%]
- VAT for international flights [%]
VAT Calculation
FL3XX calculates your VAT automatically as follows:
- Booking reference with pure international and foreign legs → Your VAT rate For International Flights applies.
- Booking reference with only domestic legs → Your VAT rate For Domestic Flights applies.
- Booking reference with both international and domestic legs → Your VAT rate For International Flights applies (a rule of thumb says, that if international/foreign legs predominate in the booking, VAT is usually exempted).
You can manually adjust the applied VAT rate or the calculated absolute VAT value in the calculation in the respective fields in the calculation matrix.
Disclaimer
FL3XX GmbH does not provide any tax, legal, or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, or accounting advice. You should consult your own tax, legal, and accounting advisors before engaging in any transaction.