1. Why is storekit now charging VAT on transaction fees?
We are updating our billing to comply with UK VAT regulations and to bring our invoicing practices in line with standard tax treatment for digital platforms.
2. Will this increase my costs?
If you are VAT-registered, the VAT we charge will be fully reclaimable in your normal VAT return, so your net cost remains unchanged.
If you're not VAT-registered, you will see an increase in the fees due to the 20% VAT being added.
3. How will VAT be collected?
VAT will be automatically deducted from your gross transactions together with our transaction fees. Your payouts will be net of both.
4. When will I receive invoices?
Invoices will be issued monthly, after the fees are incurred. For example, fees from July will be invoiced in August.
5. Do I need to pay the invoice manually?
No. These invoices will come prepaid — the amounts will already have been deducted from your payouts. They are issued for your accounting and VAT records only.
6. What if I’m not based in the UK?
We are updating our records to collect VAT numbers from all users, including non-UK customers, to apply the correct tax treatment based on your location and status.
7. How do I update my VAT number?
You’ll be able to add or update your VAT number in your storekit dashboard. We’ll notify you when this feature is live.
8. What happens if I don’t provide a VAT number?
If we don’t have a valid VAT number on file, we may be required to apply VAT depending on your location and the nature of your business.
9. Will I pay 20% of revenue to storekit if I'm not VAT registered?
No, you will not be losing 20% from revenues going through storekit. VAT will be deducted only from the transaction fees you are paying to storekit.
For instance, if you are currently paying rates of 3.9%+20p on your transactions, and say you are turning over £1,000 a month with an average transaction of £35, the 20% VAT on the fees will only have an impact of £8.94 on your net monthly revenue.
Still Need Help?
If you’re stuck, our support team is happy to help!
💬 For urgent concerns, click on the chat widget at the bottom right of the page. Our team is available 8 AM – 11:59 PM GMT.
📩 For any other enquiries, feel free to email us at [email protected]. All messages will be seen and responded to by our team within a few minutes.