As a vendor, when you sell products through Digistore24 or participate in sales as an affiliate by promoting products, you engage in commercial activities. Depending on where your company is registered and whether you apply the small business regulation, you are liable for VAT on your Digistore24 sales.

The need to be a company

As a reseller, Digistore24 may need your tax information in order to make payouts to you.

You can start using Digistore24 to sell and promote products even before providing this information. However, Digistore24 can only make payouts to you after you have provided your VAT ID.

If your company is located outside of Europe, Digistore24 does not need your tax information.

See also VAT calculation at Digistore24 GmbH.

When does Digistore24 need your VAT ID or tax number?

European Small Business Regulation

If your company is located in Europe and your annual turnover is below certain thresholds, you may apply the European Small Business Regulation. As a small business, you are generally not liable for VAT.

The following conditions apply for small businesses:

• Your company is located in Germany
  You must provide your tax number so that Digistore24 can make payouts to you. The special regulation according to §19 Abs. 3 UStG applies. Accordingly, no VAT is levied if the turnover in the previous calendar year does not exceed a specified amount. More information can be found at https://www.kleinunternehmer.de/ustg.htm.
• Your company is located in Europe, outside Germany
  You must provide your tax number so that Digistore24 can make payouts to you. Generally, the tax office in the country where your company is located does not levy VAT on small businesses.
• Your company is located outside Europe
  Please contact your local tax authority.

Note
Are you a small business and wondering why Digistore24 shows VAT on invoices? Information on this can be found in the article VAT calculation at Digistore24 GmbH.  

Please note the advice on legal consultation.