Value Added Tax (VAT) is a tax on the supply of goods and services. Holidu charges VAT on its service fees, and it is deducted from your payout. VAT applies only to commissions, including both Holidu's and the booking channel's commissions.

How does VAT appear on my invoice?

The VAT deduction is detailed in each booking invoice. If a booking is modified, the VAT adjusts to reflect the change, because Holidu is required by law to charge VAT on services.

For individual fiscal questions, please contact your accountant or tax consultant. Holidu acts as a service intermediary and cannot provide guidance on individual fiscal positions.

What is the reverse-charge mechanism (EU VAT)?

The reverse-charge mechanism is a VAT rule that shifts the liability to pay VAT from the supplier to the customer.

You can have the VAT deducted from the payout and collected in Germany (as Holidu is based in Germany) or receive the full payment and pay VAT in your country, if your VAT number is active for Reverse Charge. The tax rate applied should be the one where the VAT is collected.

For this to happen, your VAT number must be valid in the European system. For the VAT to be valid in our system, we are currently using the service BZSt: USt-IdNr. Bestätigung (bff-online.de).

Important: It is not sufficient that the VAT is VIES Valid. The VAT number holder name and address should also match the information we have from the Holidu account holder, in order to have the VAT validated accordingly.

Other useful links: https://ec.europa.eu/taxation_customs/vies/?locale=en

In order to validate your VAT number for Reverse-charge, please contact your accountant or tax consultant.