Value Added Tax, or VAT, is a tax assessed on the supply of services. In Japan, Japanese Consumption Tax, or JCT, is applicable instead of VAT. In Australia and New Zealand, Goods and Services Tax, or GST, is applicable instead of VAT.

VAT, JCT and GST rates are calculated according to the local rate of the customer's country of residence, which is determined based on the customer’s billing address. HomeAway charges VAT on certain fees received for services supplied to owners and to travelers from Australia, Norway, Switzerland, and the European Union. More information on VAT may be found here.

For owners, depending on your country of residence, or location of your property, you may need to assess VAT on the services you provide to travelers. We encourage you to consult a tax advisor in your jurisdiction if you need assistance assessing VAT on the services you provide. If you are already registered and assessing VAT on services you provide to travelers, you can submit the number you received from the tax authorities in your account under your billing address.

How does VAT work on the HomeAway platform?
HomeAway is required to collect VAT on its fees in countries that tax Electronically Supplied Services; currently in Australia, Norway, Switzerland, and the European Union. VAT laws relating to Electronically Supplied Services are changing rapidly and it is anticipated that additional countries will be added to this list in the future. 

For travelers, VAT is calculated based on the service fee total. VAT is charged at the time of booking according to the billing information provided to HomeAway. If the booking is changed, VAT adjusts to reflect any change in the service fee amount.

For owners, VAT is calculated based on either the total of the subscription or booking fee. VAT is not charged for payment processing fees. VAT is charged at the time of payment according to the billing address provided to HomeAway. Owners are responsible for ensuring their billing address is accurate as HomeAway may not be able to amend, reissue, or modify any invoice.