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App Monetization: How is VAT managed?

  • September 13, 2025
  • 1 reply
  • 35 views
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Hi,

I recently launched a paid app and I’m now trying to get a clear picture of the VAT flow. 

  1. Is my understanding correct that Monday handles the full VAT flow from collecting during purchase, to forwarding to tax authorities?
  2. The invoice developers issue to monday to collect payouts will not include VAT as monday takes care of that? for context - I’m in the EU.

Thanks in advance for your help!

Best answer by dipro

Hey, welcome to the app marketplace!

monday’s app billing infra handles VAT for you. We’ll charge the customer for VAT and it won’t be included in the payout to you.

If a customer has a VAT exception (eg for nonprofits), we’ll handle that too. 

When you are eligible for your first payout, you’ll get invited to a monday board with our team, where you can see the process and communicate with our team!

1 reply

dipro
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  • dipro
  • Leader
  • Answer
  • September 16, 2025

Hey, welcome to the app marketplace!

monday’s app billing infra handles VAT for you. We’ll charge the customer for VAT and it won’t be included in the payout to you.

If a customer has a VAT exception (eg for nonprofits), we’ll handle that too. 

When you are eligible for your first payout, you’ll get invited to a monday board with our team, where you can see the process and communicate with our team!

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