FAQ - VAT implications of changing Sold To location Follow

Why would I change my Sold To location?

A customer may change Sold To location for a number of reasons, including but not limited to:

  • If the original Sold To location was entered incorrectly
  • If your place of business changes
  • If your place of usual residence changes

While it is possible to change your Sold To location, it is not a change that should take place on a regular basis.

Does Zoom validate my Sold To location?

Yes. The Sold To country entered by you is subject to cross-referencing against other data to verify that the Sold To country is accurate.

What is an exemption status?

This refers to whether supplies made by Zoom to you will be subject to VAT.

Some countries allow for certain supplies from Zoom to be treated without VAT. The rules vary from country to country; however, if you meet the requirements in your Sold To country for Zoom to treat supplies to you without VAT, then Zoom will consider you as an exempt customer for VAT purposes.

The requirements for which supplies can be treated without VAT vary in each country. Read more information on the requirements for exemption. 

Please note that even where Zoom treats supplies to you without VAT, you may have VAT reporting obligations in your Sold To country.

How will changing my Sold To location impact my exemption status?

If you change your Sold To country this will also change any previous exemption status that you held with Zoom.
As such, if your Sold To location is changed, you will need to provide additional information to support whether supplies from Zoom to you can be treated without VAT based on your new Sold To location.

Each country has different requirements for whether supplies to you from Zoom can be treated without VAT. In addition, there may be different requirements for you if Zoom doesn't charge you VAT depending on your Sold To location.

What will my exemption status be in my new Sold To country?

If your account was set to exempt, upon changing Sold To location any previous exemptions will no longer be applied. As such, you will need to provide additional information to Zoom in order to re-verify your exemption status. This is because there are different rules in each country for determining whether supplies to you from Zoom can be treated without VAT.

If you believe supplies to you from Zoom should be treated without VAT based on your new Sold To location, you should provide evidence of this to Zoom immediately. This can be done through your Zoom account.

The requirements for which supplies can be treated without VAT vary in each country. Read more information on the requirements for exemption. 

If you don't provide this evidence, Zoom may treat supplies to you as subject to VAT in your new Sold To location until evidence to support your exemption status is provided.

How do I re-verify my exemption status?

If your Sold To location changes and you need to re-verify your exemption status, please follow these steps:

  1. Sign into the Zoom Portal
  2. In the navigation panel, click Account Management, then Billing.
  3. Under Billing Contact, choose to edit the VAT Number (which appears after the Billing Contact Address field).
  4. Enter your VAT ID number and any other information that is requested and save.

Disclaimer

Every customer is unique and so are their specific tax circumstances. The above stated information should not be considered as tax advice, but as a general overview of relevant tax rules. Zoom cannot provide you with tax advice for your individual situation, and therefore we strongly recommend speaking with a professional tax advisor for tailored advice.