Travel agencies have special arrangements concerning VAT. For example:
A travel agency organises services such as transport and accommodation. If the package contains either one, the agency needs to apply the margin scheme, and the receipt/invoice needs to specify between VAT 0 % and the agency's marginal profit VAT 24 %. This is applied if the customer is a company or community.
If the customer is a private person, margin scheme may be applied. In that case, there is no need to specify between different VAT percentages.
If the marginal profit is not known before the actual trip, the amount of VAT 24 % must be estimated.
Margin Scheme in Lyyti
Note: It is not fully possible to implement all parts of the margin scheme with Lyyti.
If a product contains several VAT rates, Lyyti shows product prices with separated VAT rates and prices. This means that participants will be able to differentiate between the various costs included in a package, e.g. 100 € - VAT 10 %, 20 € - VAT 0 %. You cannot hide different VAT rates and show them as a package price, but all prices and VAT rates will be shown separately on invoices/receipts.
To divide a price in several VAT rates:
- Create a chargeable event and product(s) in Lyyti (instructions).
- Specify VAT rates on the Prices pages.
- In Payments > Invoice data > Notes: add a comment that you're applying the margin scheme. In the case of travel agencies in Finland, the text should be : "Margin Scheme - Travel Agents" (for more information, see Tax Administration's web page (in Finnish).