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VAT

Discover how to enable VAT, choose to absorb or pass it on to customers, and understand its customer view.

Artur Binzaru avatar
Written by Artur Binzaru
Updated over a year ago

Introduction

Welcome to our comprehensive guide on Value Added Tax (VAT) at Cademy. This article will walk you through the process of enabling VAT, deciding whether to absorb or pass VAT onto your customers and how VAT appears from the customer's perspective.


Enabling VAT on Cademy

VAT is disabled by default when you create an account on Cademy, which means that customers will not see any mentions of VAT. To activate VAT, follow these steps:

  1. Navigate to your Admin Dashboard.

  2. Click on 'Settings'.

  3. Select 'Payments'.

  4. Choose 'VAT'.


How to absorb or pass VAT to customers?

You have the option to either absorb the VAT or pass it on to your customers. To pass the VAT to customers, follow these steps:

  1. Go to your Admin Dashboard.

  2. Click on 'Settings'.

  3. Select 'Payments'.

  4. Choose 'VAT'.

  5. Turn the toggle on for "Show prices without VAT included".


How VAT Appears to Customers

You can observe the example on the left screenshot, where the VAT option is absorbed, and on the right, it is passed on to the customers.

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