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Business, tax and trades

VAT

Abbreviation for value added tax

In short and in plain language

VAT is a tax on goods and services that firms supply.

In the end, the customer usually pays it.

Offers to businesses often show prices without this tax.

Private customers are usually shown the full price with the tax.

Definition
Value added tax is a tax on goods and services supplied by businesses, usually borne in the end by the customer. Offers to businesses often show net prices, while private customers are usually shown the total price including VAT.