Understanding Tax Exemption and VAT with Canva

When to Use This Page
This page provides helpful information on tax exemption and VAT processes at Canva. It's perfect for understanding how tax is applied to your purchases and knowing the scenarios where you might qualify for a tax exemption.

Overview of Tax Exemption and VAT
As of October 2022, Canva's automated tax exemption system ensures that once your tax-exempt status is validated, future invoices won't include tax. Moreover, Canva issues VAT-inclusive invoices in all European Union countries. If you have an EU VAT number, you will not be charged VAT on subscriptions. However, VAT for print products applies in countries where Canva is registered for Sales Tax.

Key Definitions

1. **Tax Inclusive**: Prices you see already include taxes based on your location, so there's no additional charge for tax on top of the price.
2. **Tax Exclusive**: Taxes are added separately to the transaction subtotal.
3. **B2B and B2C**: Refers to Business-to-Business and Business-to-Consumer transactions.
4. **VAT Reverse Charge**: For business transactions, no VAT is charged on the invoice, but businesses must account for VAT as required by local rules.
5. **EU VAT**: Canva uses a comprehensive VAT registration for the EU, allowing seamless invoicing across member states.

Where is Canva VAT Registered?
Canva is VAT registered in the EU countries, UK, most US states, Australia, New Zealand, and several other countries worldwide. This coverage ensures comprehensive tax handling for our diverse user base.

Special Cases

• Sometimes, invoices may include tax when they shouldn't, due to card country discrepancies; however, this is less common since we've added worldwide billing address collection.
• In rare cases where a user from the US has no tax line on their invoice, it may be due to a missing zip code during checkout.
• VAT refunds on print orders can be requested for certain European countries due to special reverse charge rules; however, this may not be available in all local manufacturing countries.

If this information helps resolve your query, we'd love to know. If not, please reach out so we can provide further support!