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Digital Goods VAT Calculator

Taxed where the customer is, with no threshold.

Written and maintained by Mohit PatelLast checked August 4, 2026How we build these

Rates change with budgets and local ballot measures, and the rate that applies depends on the delivery address and product category. Treat these as planning figures, not as a filing.

Net revenue per sale

€24.37

€4.63 of VAT at 19%

Customer pays€29.00
Germany VAT€4.63
You keep€24.37
Net per month€4,387

Digital goods are taxed where the customer is, not where you are, and there is no registration threshold for cross-border digital sales into the EU. Holding one inclusive price across the union means net revenue swings €1.95 per sale between the lowest and highest VAT member states.

How the Digital Goods VAT Calculator works

Digital products are taxed where the customer is, not where you are — and for cross-border sales into the EU there is no registration threshold at all. Sell one €5 ebook to a German customer and German VAT is due on it. If your price is inclusive, every country's rate takes a different bite.

Not financial advice. Marketplace fees change, and they vary by country, plan and seller status. Every rate here is an editable default, not a quoted price — check the platform's current fee schedule before you price a product against it. This is not tax or business advice.

Frequently asked questions

What counts as a digital product?

Anything delivered electronically with minimal human intervention: software, ebooks, courses, stock photography, templates, subscriptions to online content. A live tutored course generally does not — human involvement changes the classification.

Is there a threshold for digital sales?

For cross-border B2C digital services into the EU the €10,000 OSS threshold now applies, covering goods and digital services together. Before 2021 there was no threshold at all, which is why so many small sellers registered for MOSS.

How do I prove where the customer is?

Two pieces of non-contradictory evidence — typically billing address plus IP geolocation, or the country of the payment card issuer. Keep the evidence, because it is what an audit asks for.

Should I price inclusive or add VAT at checkout?

Inclusive pricing gives a consistent customer experience but means net revenue varies by up to ten points across the EU. Adding at checkout protects your net but shows different totals by country. Most consumer sellers price inclusive and accept the variance.

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