How to set up VAT and/or sales tax for different countries
First published on November 15, 2024 , updated on July 3, 2025Managing Value-Added Tax (VAT) and Sales Tax across different countries can be complex. VOGSY simplifies this by allowing you to configure the correct tax regulations for every country you operate in.
Once set up, VOGSY automatically calculates the correct tax on every invoice and creates the proper journal entries for your financial reporting.
Recommended Setup: Import from Your Finance System
The easiest and most reliable way to ensure you are compliant is to import the tax codes directly from your company's accounting software.
How it works: When you set up a finance integration (e.g., with QuickBooks, Xero, etc.), VOGSY will automatically import the corresponding VAT and sales tax codes from that accounting system.
The Benefit: This guarantees that the tax codes used in VOGSY are a perfect match to those in your financial system of record, ensuring accuracy and compliance.
Manual Setup and Usage
If you are not using a finance integration or need to add custom codes, you can also set them up manually.
Configure Codes: You can enter all your required VAT or sales tax options in the VOGSY back office.
Assign to Customers: For each customer and project, you can then assign the correct default tax code.
When an invoice is created, VOGSY will use the assigned code to calculate the correct tax amount automatically.