Global sellers looking to learn more about paying VAT authorities in multiple currencies can rest assured there is a solution available for saving money and avoiding doubling up on currency conversions.
As an international seller, dealing with taxes can be overwhelming – but it's one of the fundamentals of managing a successful eCommerce business.
Ecommerce companies are obliged to pay value-added tax (VAT) and Goods and Services Tax (GST) if they operate in Canada, the UK, or the European Union. There are also different tax laws and rules for each US state, and it's essential for eCommerce sellers to understand them.
For sellers to keep more of their profits in their bank accounts, PingPong can help with VAT registration, filing taxes and even paying VAT costs without tacked on and hidden fees!
If you're dealing with multiple bank accounts in different countries, you're bound to feel overwhelmed. What if we told you that things didn't have to be this way?
Use PingPong to Save Time and Money
Paying tax in multiple countries can get complicated. For example, a US merchant selling overseas will receive Euros from their Amazon EU account and GBP from their Amazon UK account. When it comes to paying tax, thousands of sellers use our online tool to quickly and easily pay VAT from their PingPong balance. This way, sellers are empowered to pay multiple VAT authorities without ever experiencing additional fees.
Paying tax can be detrimental to your savings, and having a solution to save you time and money brings you closer to achieving your business goals.
This method simplifies (and demystifies) the VAT-paying aspect of tax compliance for sellers and streamlines how they transfer international costs. When National Tax Day comes around, you'll be ready to do business without missing a beat.
Get started today!
We're all about finding ways to make running a business more efficient, and paying tax is a legal obligation that any eCommerce business can streamline with ease. PingPong offers an easy-to-use dashboard and streamlines payments to help eCommerce sellers with their taxes and so much more. Check out more details on our website about setting up a free account here.
You can also learn from our CBO and co-founder of PingPong Payments, Ning Wang, how technology helps sellers overcome VAT payments and compliance obstacles.
Sign up for a free account today and start streamlining your eCommerce business ahead of National Tax Day. Follow PingPong on Twitter, Facebook, LinkedIn and Instagram to be kept up to date on all the ways we make sellers' lives simpler.
Want to know more about what exactly paying taxes involves and how sellers can be as prepared as possible for National Tax Day? Check out this brief but thorough FAQ for this year:
What is National Tax Day?
In the United States, April 15th marks the deadline for an individual to pay tax to the federal government.
This year, the IRS extended the deadline for 2020 federal income tax filings to May 17th due to the covid-19 pandemic.
Taxpayers must collect all of their financial documents from the previous year and prepare to submit tax returns and payments. This date is for individuals who file taxes based on a calendar year, and if you follow the fiscal calendar year, you must file your tax after the last day in the fiscal year.
What to do if you miss the deadline
If you cannot meet the deadline, you can file for an extension of up to 6 months. However, you still need to pay tax on the day of the deadline, meaning you will need to estimate your owed amount. There will be a 'failure to file' penalty and interest charges unless you have a special extension. Make sure to file your taxes as early as possible to avoid missing the deadline.
Making your business more efficient and navigating taxes
Many businesses work with tax professionals, and some hire an accountant to represent them in every country in which they sell products.
Accountancy firms and tax agencies are more open to using third-party payment providers, and technology enables a better and more efficient way of doing business. Thanks to technology, sellers no longer need to deal with the complications that come with VAT payments and compliance.