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What is the difference between 'zero-rated' and 'exempt goods'
How to display a 0% tax rate on an invoice?
0% tax rate is a valid tax rate that is used by some countries (primarily in the EU region) to distinguish between exempt and taxable goods. A reduced rate, <5%, and sometimes “0% (zero-rated) tax” is applied on certain goods by the EU member states. This rate is considered as a taxable rate of VAT and the revenue generated from zero-rated goods (applicable only to selected items) is still included in the taxable revenue. In the case of “exempt” supplies, businesses cannot register for VAT and are not entitled to a VAT reclaim on their business expenditure.
Note: It is important to add the billing country/shipping country information to identify which tax rate to apply when you configure taxes in Chargebee.
How to set up the Tax rate for a particular country?
To edit the tax rate for an existing region, Go to Settings > Configure Chargebee > Taxes > Select the country > Manual > Edit the tax rate as 0%.
How to display a 0% tax rate applied on an invoice?
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