I just noticed, that the service fee (should be 12.5%) for my current order is well off the mark.

The order total is 48.33€ and the service fee is 7.31€, leaving me with 41.02€ in hand for this order.

By my calculations, the service fee for the order should only be 6.04€

The current service fee is over 15% of the total.

Has anyone else noticed this? - Can the team perhaps answer what this is about?
service_fee.png

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It seems this is the case with all my orders, and I figure it is because they add VAT on top of the service fee…

I don’t know why I haven’t noticed this before, probably because I don’t really do this for the money, after all… - But it does explain why my cost-to-revenue hasn’t been adding up right in my head, over the course of the year.

I guess what I’m saying is… Please update the text to read “We charge you a service fee of 12.5% plus VAT” to make it clear to people. I can’t be the only idiot around who doesn’t realize these things, after all! :smiley:

Hi,

3DHubs don’t take the shipping costs in their calculation.

Also, it seems that they add 20% VAT on the 12.5% after calculation.

( (Subtotal - Shipping) * 0.125 ) * 1.20 = 3DHubs fee.

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Hi guys,

Robin from 3D Hubs here. Whether or not we have to calculate VAT over the service fee depends on where you are located and wether or not you are a VAT registered business.

If we do have to calculate VAT over orders, like in your case Hoffa, it’s 21% (Dutch VAT), so 12.5% + 21% = 15.125%

For more information on this topic, please check our article here: https://www.3dhubs.com/talk/thread/pleasures-and-sorrows-taxes-part-2

I hope this cleared up this confusion.

Best,
Robin - 3D Hubs

Thanks for the reply! I did figure this out myself, once I actually remembered to wake my brain up! There just wasn’t an option to delete the thread before it was approved. :wink:

Hi Robin,

Is it an Idea to have the VAT separate to the service cost?

Then it might get a bit easier for people to understand from where those (I’m getting the example from this thread) 1.27€ are coming from

Best

Hi @mx20100,

Thanks for the suggestion, makes sense to me. I’ll forward it to our finance department, it’s their call :slight_smile:

Best,
Robin - 3D Hubs

Hey @Hoffa,

No problem at all, hopefully it’ll help others as well.

Best,
Robin

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No problem! :slight_smile: Best

thanks for this clarification here - i was actually confused about this myself and just came here to figure out why the service fee was oddly higher than expected.

as a USA non-business hub and that USA doesn’t have a VAT, it never even dawned on me to consider VAT might be added to the service fees. if I were to register a small business here, 3dhubs wouldn’t have to charge me VAT anymore? that seems odd since there is no VAT here so it’s not like i’d be paying it elsewhere somehow. i’m a bit confused on how this is all calculated in that case (yes yes, i’m an ignorant american and the VAT is entirely alien to me).

i understand that this VAT is charged on the services performed by 3dhubs for me (or for every independant hub, individually). so i understand EU based regulations would make sense here as this is a EU company charging me for their services. but i’m confused on how and why 3dhubs could not charge me VAT if i were to register as a business here in the USA.

like others, i wish the service fees description made this clear from the outset. the current description suggests it is just 12.5% and though some in EU might expect a VAT those in other regions see the math come out wrong and have no prior taxation knowledge to help make sense of it.

I see that using a 3d printing widget from our own website can reduce the fees, i assume this reduces the VAT by the same ratio then. maybe that’s the easiest way to handle this?

-Jared