Pre-Payment (Standard)

Upfront payment of the services in the following way. The following invoice will be created for you:

• Deposit: States the amount of budget which is paid upfront. 
• Invoice: States the delivered services for the previous month and is paid by the prepaid budget of the deposit invoice.

Post-Payment (Upon request, depending on project size)

Payment of the delivered services after the delivery. The following invoices will be created for you: 

• After completion of the project one invoice stating the delivered service and amount. The invoice is payable between 7 - 60 days, depending on the negotiated conditions.
• In case the project runs across several months, the delivered amount will be billed each month depending on the delivered amounts.

If you are ....

• a business based on Germany: 19% VAT is applied
• a privat individual based in Germany: 19% VAT is applied
• a business based in Europe: 0% VAT (Reverse Charge) is applied if your provide a valid VAT number
• a private individual based in Europe: x% VAT (MOSS) is applied, depending on the rate of each country is applied
• a business based outside of Europe: 0% VAT (Reverse Charge) is applied
• a private individual based outside of Europe: 0% VAT (Reverse Charge) is applied

In order to verify if there is a problem, please ensure that ...

• Your VAT number is valid and not expired?
• Your VAT number is registered with VIES?
• You entered your VAT number correctly?
• You selected the correct billing country in our system?
• You selected the correct legal form of your business in our system?

• EUR
• GBP
• USD

Depending on your region we automatically set your currency. 

Please ensure that you provide the following information: 

• User ID: e.g. UX1839XJFD
• Invoice ID: e.g. 60003891
• Change request: Please add the following PO number (21948291) to the invoice.

• Did you enter a valid Paypal email address?
• Did you check your spam folder? 
• Did you search for an email from service@paypal.de with a title such as "We sent your invoice (2005350) for 1.000,00 EUR"?

These changes will be reflected as follows:

Applied tax rate on invoices

• All services delivered before < 01.07.2020 are billed on a separate invoice with 19% VAT
• All services delivered before >= 01.07.2020 and < 31.12.2020 are billed on a separate invoice with 16% VAT

Changes on post-paid invoices

• Example: Invoice to be paid in 30 days
• The reduced VAT rate of 16% will be applied.

Changes on pre-paid invoices

• Example: Invoice settled by existing deposits.
• The reduced VAT rate of 16% will be applied.
• Due to the different VAT rates we will settle invoices with deposits that have 16% and 19% VAT. This means that ...
  • in case the deposit invoice is created before 01.07.2020 with 19% you paid too much VAT, and GC will credit you the difference.
  • in case the deposit invoice is created on or after 01.07.2020 with 16% and the service is delivered before 31.12.2020 you paid the correct VAT amount
  • in case the deposit invoice is created on or after 01.07.2020 with 16% and the service is delivered after 31.12.2020 you paid not enough VAT, and owe us the difference. 

Additional notes on invoices

• "We compensated our delivered services with your balance from before 01.07.2020 with 19% VAT."
• "For all services delivered between 01.07. - 31.12.2020 the 16% reduced VAT (COVID reduced rate) has been applied."
• "We will credit you the 3% VAT difference in the amount of {amount and currency} at the end of the month." or "We kindly request that you credit us the 3% VAT difference in the amount of {amount and currency} until the end of the month."

Sources

• Temporary reduction of the general and reduced VAT rate as of 1 July 2020 (German article)
• Official letter from the Federal Ministry of Finance - 23.06.2020 (German article)

1. Log into your user account
2. Go to Money > Top up account
3. Select the amount and payment method (Paypal or Bank)
4. Click "Add deposit"
5. Depending on the selected method, your deposit is available after 15min (Paypal) or 3-5 business days (Bank transfer)