How to Invoice a Customer

How to Invoice Customers When Selling on Refurbished.store

When selling on Refurbished.store, a service fee is deducted from the sale amount. Here’s a guide to help sellers invoice their customers correctly:

Sales Price

Per example, if the customer pays €433 for the product, which includes VAT. This is the gross amount you, as the seller, must list on the invoice to the customer.

Invoice to Customer

Your invoice to the customer should reflect the total amount paid, including VAT. This demonstrates compliance with VAT regulations and provides clear documentation of the transaction.

Refurbished.store Service Fee

Refurbished.store deducts a service fee from the gross amount before paying out to you. For example, if the fee is 12.5%, it calculates to €54.12 based on the gross sales amount. After the service fee deduction, the amount you receive is €378.88. This is not the amount to be invoiced to the customer.

Accounting for VAT and Service Fees

• For Dutch Companies: If you are a Dutch company, VAT applies on the service fee charged by Refurbished.store. You need to account for this when you calculate your VAT obligations. If not directly deducted within the service fee, seller will receive a separate charge for VAT by invoice.
  
• For Non-Dutch Companies: VAT is reverse-charged, meaning you do not pay VAT on the service fee, but you must report it according to your local VAT regulations.
  

Record Keeping and Financial Statements

• You should maintain records showing both the gross amount invoiced to the customer and the net amount received after the deduction of the service fee. This is essential for accurate financial reporting and VAT compliance.
  
• By following this invoicing method, you ensure transparency with your customers and maintain compliance with VAT regulations, while clearly documenting the service fees and net receipts from sales through Refurbished.store.
• Service fee is invoiced separately weekly, in a financial statement to be used for your record keeping as a seller. Service fees are paid through Adyen, due to the automated reduction on payouts and depending on where your company is located increased with VAT.