Following the first VAT increase that South Africa has seen in 25 years, coming into effect on 1 April 2018, we thought it would be important to ensure that you know how to update your VAT in WooCommerce.
To update existing VAT in WooCommerce, two scenarios exist. The first is that VAT has been included in the price (display prices include tax). This requires the price to be manually updated for each product or products can be exported and imported again to update the prices.
The second is that VAT has not been included in the price (display prices exclude tax) and the VAT standard rate has to be updated within WooCommerce.
This is how to update your VAT in WooCommerce:
- WooCommerce > Settings > General > Enable taxes will be selected and active (the Tax tab will not be visible if this is not selected):
- WooCommerce > Settings > Tax > Tax Options > Display prices in the shop excluding tax, with additional settings as required:
- WooCommerce > Settings > Tax > Standard rates > Update the standard ZA rate from 14% to 15%:
- Clicks Save changes, and you’re done with your task to update VAT in WooCommerce!
For further reading about why VAT increases have taken place, read: VAT increase to 15%
Still not sure? Ask us for help.