Sellers on WPBay are responsible for understanding how taxes and invoicing are handled in relation to their earnings on the platform. WPBay facilitates product sales, collects payments on behalf of sellers, and issues invoices to customers. However, sellers must comply with applicable local tax laws and maintain accurate financial records for their earnings.

VAT and Sales Tax Collection

WPBay collects value-added tax (VAT), goods and services tax (GST), or other applicable sales taxes on qualifying transactions, particularly for customers located in the European Union and other jurisdictions where digital product tax laws apply. These taxes are calculated and applied automatically at checkout based on the buyer’s location.

Collected tax amounts are remitted by WPBay to the relevant tax authorities. Sellers do not need to collect or remit VAT or sales tax independently for these transactions, but should be aware that the amount they receive is net of any such taxes applied to the sale.

Customer Invoices

WPBay automatically generates and issues invoices to customers on behalf of sellers for each transaction. These invoices include the product name, amount paid, applicable taxes, and buyer details, where required by law. The invoice will reflect WPBay as the billing party and is accessible to the customer in their account.

Sellers can view and download invoice copies for all completed orders via the WPBay vendor dashboard. These records can be used for bookkeeping, tax reporting, and accounting purposes.

Seller Payouts and Reporting

Sellers receive payouts from WPBay based on their earnings, minus any applicable platform fees, refunds, or chargebacks. WPBay provides reporting tools that summarize earnings, fees, and payout history, which can be exported for use in tax filings or financial statements.

Payouts are considered income and may be subject to income tax in the seller’s country of residence. WPBay does not withhold income taxes on behalf of sellers. It is the seller’s responsibility to declare this income and comply with local tax regulations, including any registration, filing, or reporting obligations.

Invoicing WPBay (if required)

In some countries, sellers may be required to issue an invoice to WPBay for their earnings. If you are required by your local tax authority to invoice the platform for payouts received, you may do so using the payout data available in your dashboard. WPBay does not automatically process inbound invoices from sellers but can provide documentation to confirm transactions upon request.

Tax Identification and Compliance

Sellers may be asked to provide tax-related information, such as a VAT ID or business registration number, to comply with platform policies or regulatory requirements. WPBay may also issue annual earnings summaries or forms if required by law in certain jurisdictions.

Sellers are advised to consult with a tax advisor or accountant to ensure full compliance with applicable laws in their country of residence. WPBay does not provide tax advice or guidance specific to individual circumstances.

For further information or documentation related to invoicing and tax reporting, sellers can contact WPBay support through the vendor portal.