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

How does Holidu charge VAT?

Holidu is required by law to charge VAT on its services. If a booking is modified, the VAT adjusts to reflect the change.

How does VAT appear on your invoice?

The VAT deduction is detailed in each booking invoice. For individual fiscal questions, please contact your accountant or tax consultant. Holidu acts as a service intermediary and cannot advise on individual fiscal positions.

Reverse-charge (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 must also match the information we have from the Holidu account holder for the VAT to be validated accordingly.

Other useful link: 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.