Zero rating VAT items using PayPal merchant tools

  murgle 07:53 08 Oct 2005


I have a small online shop I have built using FrontPage 2003 and use PayPal's shopping basket merchant tools for processing the payments. It all works perfectly except for handling VAT. As I am VAT registered all the items have VAT added at the end of the transaction. The problem is zero rating VAT on some books that I sell. I can not find away of changing the settings. It appears that you can either charge VAT on all items or no VAT on all items. I have requested help from PayPal but have had no reply. Has anyone else experienced this problem and is there any way of fixing this.

Many thanks.

  Forum Editor 08:48 08 Oct 2005

and one that I can't answer, as I haven't come across the problem before. The only workaround I can think of is to set up another PayPal account for the zero-rated items, and process them separately on your site.

  murgle 10:33 08 Oct 2005

I did not think I could do that, but seems like a good solution. Only thing it complicates my accounting. Maybe someone else as an idea?


  spuds 17:57 08 Oct 2005

Have you not tried the eBay community forum for advice.The feedback from there usually solves many eBay/Paypal problems.

Regarding Paypal response, I generally find that their replies to email are fairly good and quick. Failing that, a quick telephone call to their Irish call centre may offer a solution.

  murgle 19:17 12 Oct 2005

I posted on the ebay community and not a reply in 4 days.

  harristweed 09:03 13 Oct 2005

I have set up a paypal shopping basket. My items had different delivery prices (similar problem). Perhaps you could set paypal NOT to add vat but have vat as an additional item then add to it's value or not as products are selected. Then Make VAT the last item in the basket/cart. This way the correct vat amount would be added and displayed as a separate item.

  spuds 11:15 14 Oct 2005

I note that some sellers state that vat will be added to the final figure,as an addition, so perhaps harristweed as a good point and worthy of further consideration.

One thing that I did notice in some wins, I was left to add on the postage rate from a 'varied' selection box. This I did from information that was on the site, simple it would seem, but what would have happened if I had inserted a wrong payment. Would this have caused an upset!.I would also mention that I have purchased and won various independent selling items being sold by the same seller, and they have stated that a reduced postage rate will be given on the final bill. This as happened on many occasions on final settlement. So there as got to be a simple solution to your problem on the vat question.Sorry that I cannot advice any further, but it would be interesting to find out.

As a final note, I have recently purchased Phoenix Global Software click here Data Becker Super Seller Pro for eBay and Super Seller for eBay. Both of these packages seem to offer quite a number of items for eBay selling, and both are available from places like PCW and Ebuyer.The prices of theses software packages have been greatly reduced lately, so as a suggestion, why not have a look at them, they may help in your eBay selling.

  spuds 19:39 14 Oct 2005

Appologies, my previous posting seems to suggest that you are using eBay. I keep thinking in terms of PayPal and Ebay as one identity.

  murgle 19:43 14 Oct 2005

Many thanks for your help. As it happens I sell very little on ebay. I use PayPal's web merchant tools for selling from my Website.

I ended up opening a separate PayPal account (as suggesest by the forum editor) with no VAT. I now have all book purchases paid through this account.

Thanks again.

This thread is now locked and can not be replied to.

Elsewhere on IDG sites

WPA2 hack: How secure is your Wi-Fi?

HP’s new Surface Pro rival is designed specifically for Adobe-using designers and artists

Best kids apps for iPhone & iPad

Que faire si son iPhone ou iPad est tombé dans de l'eau ?