This service is especially valuable as the tax treatment can vary from the business-to-consumer (B2C) channel in many locations.

The service's API provides a way to manage your tax ID verification across multiple regions. This helps you to meet demanding and diverse requirements of various tax authorities.

The solution offers the following capabilities:

• Support for more than 50 countries and regions. See Validation Type per Country.
• Support for multiple validation types. For example, real-time, scheduled and batch validations are all supported.
• Dual number validation. For example, in Canada it can validate both GST and HST. See Validating Multiple Tax IDs.
• Some sellers are required to validate a businesses’ tax number before applying a reverse charge and zero rating the transaction. Vertex’s B2B validation service supports this.
• Customers who may want to integrate supplier verification into their supplier onboarding process can also utilize this service.
• The Reverse Charge mechanism enables a seller to shift obligation to collect tax from the seller to the buyer. The buyer subsequently pays and deducts the tax simultaneously in their tax return. Reverse charge is only supported for B2B sales and the tax authorities place onus on the seller to validate their buyer’s tax registration before utilizing the Reverse Charge mechanism.
• You can use the service to verify their buyer’s business status before commencing commercial relationship.

Deployments

Deployment and integrations differ for Standalone and Integrated deployments.

Integrated

Users of the Integrated version can use it as part of your Vertex for Marketplaces deployment to help process B2B transactions as explained in the Integrated Vertex Validator topic.

These implementations use the buyer_tax_number field to send Tax IDs to Vertex Validator. If the ID is valid, the transaction is treated as a a B2B transaction. If the ID is not valid, it is generally treated as a B2C transaction. This behaviour can differ depending on your settings.

Standalone

Standalone users use only the Tax ID validation component as described in the Standalone Vertex Validator topic

These integrations use the Validate Tax Number request to check Tax IDs for scenarios such as the following:

• Customers who may want to integrate supplier verification into their supplier onboarding process can also utilize this service.
• You can use the service to verify their buyer’s business status before commencing a commercial relationship.

Settings

You can make settings using the UI or API.

Settings UI

You can control how IDs are validated and other settings in the UI as described in the UI-based Settings topic.

API-based Settings

You can also the API to make settings as described in the API-based Settings topic.

UI-based Reporting

You can use the Tax Number Validations UI to view report information about validations and their statuses.

API-based Reporting

You can also use Option 2 in the Schedule Report request to create a report about Tax IDs.

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