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medoy t1_iy1h0ql wrote

Reply to comment by AtlEngr in LPT: Shop for kitchen supplies at restaurant supply stores by guyinnova

Businesses pay sales tax on supplies unless they will further resale the items.

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ColgateSensifoam t1_iy2ug48 wrote

Varies locally, like they said

Locally to me, VAT is paid on everything that is not zero-rated, and then claimed back at the end of the fiscal year, the same time VAT is due, so the VAT bill is collected VAT minus claimed VAT

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Clemon86 t1_iy2uhzz wrote

Well not in Germany for example. When you are a business you can buy the stuff you need to run it without paying sales taxes.

Like a carpenter who buys a hammer to make things a restaurant buys a knife to cook things.

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Mothertruckerer t1_iy32uj2 wrote

Yeah, we do this differently here in Europe usually. Unfortunately this means we can't buy things as easily at wholesalers and businesses focused on B2B.

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CaptainPunisher t1_iy2rya3 wrote

This. Restaurants are end users of the equipment, and thus need to pay sales/use tax for any merchandise.

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