Can I invoice at 0% VAT?
Updated
VAT exemption only applies to companies with an annual turnover of less than €20,000. When you work as a light entrepreneur without your own Y-tunnus, you invoice using Truster's Y-tunnus. Because Truster is a large company, we're legally required to add VAT to all invoices.
What does this mean for you?
- You need to add VAT on top of the price (usually 25,5 %).
- If you agree on a price of, say, 100 €, the invoice total will be 125,50 €.
- For a business client, this isn't a problem, since they can deduct the VAT in their own taxation.
- For a private client, the price is always the total including tax, so remember to factor in VAT when you negotiate the price with a consumer.
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