VAT and you at SmugMug

Updated -

VAT applies to everyone in the UK, whether you're registered or not. We've now made it easier to keep track of those charges.

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VAT on Transactions from SmugMug to You

SmugMug will provide you with a VAT Invoice at the time digital services are rendered (e.g., when SmugMug subscription renewals are charged to your payment method) and when goods are shipped. You'll receive this invoice via email from "SmugMug VAT Invoicing" as soon as the payment is made. This invoice will be for your input VAT (VAT that you have paid to us that should be claimable from your tax authority if you are VAT Registered). All prices for prints from Loxley Colour throughout the site are VAT Inclusive.

If you live in the UK

SmugMug is required to collect VAT on the cost of goods supplied to you from Loxley Colour. SmugMug is also required to collect VAT on the cost of subscription services provided to you by SmugMug.

If you live in the EU

SmugMug will collect VAT on all transactions with you involving prints from Loxley Colour or subscription services from SmugMug if you are NOT VAT Registered in your home country. If you are VAT Registered in your home country and have informed SmugMug of your registration number via the Account Settings, then your subscription and prints sold through SmugMug will be Zero Rated as an Intra EU Supply of Goods or Services. Submit your VRN information in Account Settings > Business > Getting Paid > VAT Registration.

If you live anywhere else

G’Day Mate, SmugMug is not VAT enabled for any other region.


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VAT on Transactions from You to Your Customers

If you are VAT Registered and have provided SmugMug with your VAT Registration Number in your Account Settings, then SmugMug will do the following things when dealing with items from Loxley Colour:

  • Your clients’ pricing will now be updated to include VAT. Now is a good time to review your pricing to ensure you approve, particularly if you have printed materials with your prices on them. In the pricelist and package editors, it will show your final prices with VAT Inclusive, assuming the buyer is located in your home country.

    Gotcha! If your country has a 25% VAT, for example, a print priced at 10.00 will now be 12.50 in the pricelist for customers located in the same country. However, a buyer located outside your VAT area will still see the 10.00 price. We recommend double-checking your pricelists if you have them printed anywhere.

  • Both your pro profits and output VAT will be paid out to you. SmugMug will assess VAT on your behalf for customers who are subject to VAT and those funds will be remitted to you separately from your profits. Output VAT (VAT collected from your customers that you should remit to your tax authority) will appear as a separate line item. We’ll distribute your output VAT to you more frequently and at a lower threshold than your pro profits so that you can make timely payments to HMRC.

  • We’ll send invoices to your customers. Your customers will begin receiving VAT invoices. These invoices will list the address registered on your SmugMug account, so you may want to update it to your studio or business address if you don’t want your home address showing. We’ll also send you a copy of your customers’ VAT invoices so you'll have a record of those, too.

  • If you are not VAT registered, nothing will change in your customer pricing.

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