Value Added Tax (VAT)
Freelancer.com charges Value Added Tax (VAT) on the services provided to users registered in certain countries. VAT is applied on all fees charged by Freelancer.com such as project and contest fees, membership fees, and exam fees, not on payments charged by freelancers to employers for projects completed on the site. VAT rates are based on the local rate of the users’ country of residence. This tax is collected by Freelancer.com and remitted to the respective government agencies.
VAT is shown on the invoices of the fees paid to Freelancer.com, which can be found on the Transaction History page.
The fees charged by Freelancer.com for its services are listed on the Freelancer Fees and Charges page.
European Union (EU)
Freelancer.com users from the European Union member countries registered as individuals, not as businesses or companies, are charged the Value Added Tax (VAT). VAT rates are based on the users’ country of residence.
Freelancer.com users registered as businesses or companies are exempted from VAT. The business or company’s VAT information should be provided for the VAT exemption to apply:
1. Click your profile picture thumbnail from the main menu bar, and choose User Settings under Account.
2. Click Payment & Financials.
3. On the VAT Information section, choose your VAT country, and enter your VAT number. There is no need to input your country code as it is pre-filled once the VAT Country is chosen.
4. Click Add VAT number to complete.
Your VAT number will be shown on your invoices, but there will be no tax charges as you will be exempted from VAT.
Freelancer.com users residing in Switzerland are charged the 7.7% VAT. This tax applies to all users in Switzerland, regardless if the accounts are registered as individuals or businesses.