As of 1 January 2016, Vultr charges a 18% Goods and Services Tax (GST) to customers with a tax location in India.
This complies with the Government of India’s regulations on OIDAR services (Online Information and Database Access or Retrieval Services).
Prior to 1 July 2017, customers from Jammu & Kashmir (J&K) were exempt from paying service tax. Customers in this region, now Jammu & Kashmir and Ladskh (as of the Jammu and Kashmir Reorganization Act. 2019), must pay GST.
If your business has a GSTIN in India, you can enter it into the GST Identification Number field on the billing page of the customer portal after logging into your Vultr Account. If your business operates in more than one state and has more than one GST Identification Number, enter the GSTIN corresponding to your primary place of business (the GSTIN corresponding to the state where your registered office is situated).
After you add your GSTIN to your account, we do not charge GST on your invoices. In this case, as the service recipient, you are still responsible for paying GST under the India reverse charge Mechanism (RCM). You can offset these payments against your output liability or claim them as a refund. You cannot claim credits for GST you paid before updating your GSTIN.
If you do not add your GSTIN to your Vultr account, we charge GST and it will appear on your invoice.
Tax deduction at source (TDS) in India is a method of collecting income tax by requiring the payer to deduct tax due before paying the balance to the payee.
When you submit the TDS refund claim, you must submit your registered TAN along with the Form 16. Once per quarter, when the claim is verified on TRACE, we will return 10% of your payments as credits to your Vultr account.
No. Invoices do not have to be in INR for them to be GST compliant.
When you add your GSTIN to your account, we no longer charge GST and no longer display a breakdown on your invoice. Instead, you are responsible for paying the GST under the reverse charge mechanism (RCM) in India.
When your account does not have a GSTIN, then Vultr will charge the GST and your invoice will include the breakdown.
The services offered by Vultr are OIDAR service. Unlike services offered by domestic companies, there is no fixed invoice format for OIDAR services, so the term “reverse charge” does not need to appear on your invoice for you to be responsible for paying it.
If you have not entered your GSTIN into your Vultr account, we will charge GST and it will appear on your invoice. After you update your GSTIN on your account, you will not be charged for GST; in this case, as the service recipient, you are still responsible for paying GST under the reverse charge mechanism (RCM).
Unfortunately, no. You cannot claim credits for the GST you paid before you added your GSTIN to your account.
From the date you add your GSTIN to your Vultr account, you will not be charged for GST. As the service recipient, you are still responsible for paying GST under the reverse charge mechanism (RCM). you can offset such payments against your output liability or claim them as a refund. Check with your finance team/auditor on how to claim credits.
Yes. Our invoices include a service tax number for affected customers. The HSN/SAC code of the services not mentioned in the invoice is XXX.
Vultr is a non-resident OIDAR service provider, so the format of our GST number is different from the format for resident service providers. This does not affect your ability to claim GST credits or pay the GST under the reverse charge mechanism (RCM).
No. The customers are all under the Vultr US entity, so that Vultr only issues US invoices.
Your account address determines your tax location. When you sign up for services at Vultr, you will see an option to update your account information, located here.
If this information is not provided to us, by law, we are required to consider other account details, like payment addresses or IP addresses.
You can update your account address and view your account’s tax location and rate at any time on the billing page of the customer portal after logging into your Vultr Account. If you’ve set your account address correctly but your account’s tax location is not what you expect, contact support for help.
USD is our functional currency at this time. Therefore we cannot provide invoices in other currencies.