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VAT & taxes on Whop

Why Whop adds VAT, how WooshPayment charges tax-inclusive, and how to decide/disable VAT calculation in your Whop account before launching.

2 min read

VAT & taxes at checkout

Whop (the processor powering your branded checkout) automatically calculates VAT on sales to the European Union. It's not something you turn on: it kicks in based on the customer's country. This guide explains what happens and what to check before launching.

What WooshPayment does

The WooshPayment checkout always charges the tax-inclusive price: the customer pays exactly the cart total they see. No surprise tax is added on top of the price.

In practice: if the cart shows €69.90, the customer pays €69.90.

Without this setting, Whop defaults to "tax-exclusive" and adds VAT on top of the price (e.g. €69.90 becomes €85.28 with Italy's 22%). WooshPayment forces "tax-inclusive" on every checkout, so the customer never pays more than the cart total.

What "Tax collected / You remit" means

In the Whop dashboard, on a payment, you may see a Tax breakdown section with:

  • Tax collected — the VAT portion contained in the price
  • You remit — you (the merchant) are responsible for remitting that VAT to the tax authority

This is an informational note: with tax-inclusive mode that portion is already inside the price the customer pays, not added on top. Whop calculates the VAT but does not remit it for your company.

What to check before launching

Go to your Whop → Settings → Tax and decide how to handle VAT:

  1. Keep tax-inclusive (recommended for most dropshippers) — the customer pays the cart price, VAT is already counted inside. Nothing to do.
  2. Disable VAT calculation — if you don't want Whop to calculate and show VAT, turn off VAT collection in your Whop tax settings.

This is a tax choice, not a bug. If you're VAT-registered and selling to EU consumers, you still owe VAT. WooshPayment is not a tax advisor: if in doubt, check your position with an accountant.

In short

  • The customer always pays the cart total — no surcharge. This is handled by WooshPayment.
  • VAT handling (calculating, showing, remitting) depends on your Whop account settings.
  • Check Whop → Settings → Tax before launching ads.