The sale of used goods is a booming business, especially in times of crisis, as it allows consumers to purchase goods in good condition at a lower price. However, many are unaware that these transactions are subject to taxes, in particular Value Added Tax (VAT). In this article, we will discuss how VAT is applied to the sale of used goods and what options exist for traders in this sector, including the special regime for used goods .
When is VAT applied to the sale of used goods?
As a general rule, any commercial activity is subject to VAT, and the sale of used goods is no exception. If you are a business owner or self-employed person who buys and sells second-hand products, you must apply VAT to your sales, although there are different ways to do so depending on the tax regime you are applying to.
General Regime
If you decide not to take advantage of the special regime for used goods, you will have to pay taxes under the general VAT regime. In this case, the tax will be applied to the total sale price at the general rate of 21%. In addition, you will be able to deduct the VAT incurred on purchases related to the activity. This denmark whatsapp shopping data approach is the most common, but it involves a higher tax burden, since tax is paid on the total price and not on the profit margin.
It is important to note that the retail trade of used goods cannot be subject to the equivalence surcharge regime. Therefore, self-employed workers in this sector cannot pay taxes by modules and must do so by direct estimation in the personal income tax.
Special Regime for Used Goods
The special regime for used goods is an alternative that allows the tax burden to be reduced by calculating VAT only on the profit margin, not on the total sales price. This regime is applicable to the sale of items purchased from individuals, exempt professionals or other entrepreneurs under the same regime.
- Board index
- All times are UTC
- Delete cookies
- Contact us