SAP Business One Country Localization: Tax, Statutory Reporting, Data and Local Interfaces

China

Main VAT rates: 13%, 9% and 6%; qualifying exports are zero-rated. Hong Kong has no VAT/GST or sales tax.

Japan

Consumption tax: 10% standard; 8% for qualifying food and newspapers.

India

Main GST rates are 5% and 18%, plus a 40% special rate and zero-rated/exempt categories; classification follows the applicable notifications.

South Korea

General VAT rate: 10%.

Australia

Standard GST: 10%.

Taiwan Region

General VAT-type business tax: 5%; qualifying exports are zero-rated. Special industries have separate non-VAT business tax rates.

Singapore

Standard GST: 9%.

Thailand

Current VAT is 7%, including local tax; the reduced rate is extended through 30 September 2027.

Philippines

Standard VAT: 12%; qualifying exports and other eligible supplies are zero-rated.

Malaysia

Sales tax is generally 5% or 10%. Service tax is generally 8%, with 6% for categories including F&B, logistics and telecommunications.

New Zealand

Standard GST: 15%; qualifying exports and other eligible supplies are zero-rated.

Germany

Standard VAT rate: 19%. Reduced rate: 7%.

Ireland

Standard VAT 23%; reduced rates 13.5% and 9%; zero and other special rates depend on the transaction.

United Kingdom

Standard VAT 20%; reduced rate 5%; specified supplies are zero-rated or exempt.

France

Standard VAT rate: 20%. Reduced rates: 10%, 5.5% and 2.1%.

Italy

Standard VAT rate: 22%. Reduced rates: 10%, 5% and 4%.

Russia

Standard VAT rate: 22%. From 1 January 2026; specified supplies use 10% or zero rates.

Spain

Standard VAT rate: 21%. Reduced rates: 10% and 4%.

Turkey

Standard VAT 20%; reduced rates 10% and 1% apply to listed goods and services. The 20% and 10% rates took effect on 10 July 2023.

Netherlands

Standard VAT rate: 21%. Reduced rate: 9%; specific categories follow the applicable Dutch rules.

Switzerland

Standard VAT 8.1%; accommodation 3.8%; qualifying food, medicines and other supplies 2.6%.

Poland

Standard VAT rate: 23%. Reduced rates: 8% and 5%.

Belgium

Standard VAT rate: 21%. Reduced rates: 12% and 6%.

Sweden

Standard VAT 25%; restaurant services 12%. Food and takeaway food are taxed at 6% from 1 April 2026 to 31 December 2027; other reduced rates depend on category.

Austria

Standard VAT 20%; reduced rates 10%/13%; selected basic foodstuffs are taxed at 4.9% from 1 July 2026.

Norway

Standard VAT 25%; food and water/wastewater services 15%; passenger transport and accommodation 12%.

Denmark

Standard VAT rate: 25%.

Czech Republic

Standard VAT rate: 21%. Reduced rate: 12%; qualifying books are zero-rated.

Finland

Standard VAT rate: 25.5%. Reduced rates: 13.5% and 10%, depending on the goods or services.

Portugal

Standard VAT rate: 23%. Mainland reduced rates: 13% and 6%; island regions have different rates.

Greece

Standard VAT rate: 24%. Reduced rates: 13% and 6%; some regions have separate arrangements.

Hungary

Standard VAT rate: 27%. Reduced rates: 18% and 5%.

Ukraine

Standard VAT 20%; specified goods and services use 14%, 7% or zero rates under the applicable tax rules.

Slovakia

Standard VAT 23%; reduced rates 19% and 5%, depending on the goods or services.

Cyprus

Standard VAT rate: 19%. Reduced rates: 9% and 5%; other special reduced rates also apply.

United States

No federal VAT. State and local sales/use taxes vary by transaction location and category.

Canada

Federal GST is 5%; provincial HST ranges from 13% to 15%, with Nova Scotia at 14% since 1 April 2025. Separate provincial sales taxes may also apply.

Brazil

Existing ICMS/ISS rates vary by jurisdiction and transaction. The 2026 CBS/IBS test rates are 0.9% and 0.1%; taxpayers meeting ancillary obligations can be exempt from payment of these test taxes.

Mexico

Standard IVA: 16%; eligible transactions under the border incentive can apply 8%. Exports and other supplies may be zero-rated or exempt.

Argentina

Standard IVA: 21%; 10.5% for certain transactions and 27% for specified non-residential utilities and other supplies.

Chile

Standard IVA: 19%.

Puerto Rico

General IVU totals 11.5%: 10.5% Puerto Rico tax plus 1% municipal tax, with exemptions or different rates for specific transactions.

Guatemala

General IVA rate: 12%; small-taxpayer and other special regimes follow separate rules.

Costa Rica

Standard IVA: 13%; qualifying goods and services have reduced rates including 4%, 2% and 1%, according to their classification.

Panama

General ITBMS: 7%; alcoholic beverages and accommodation: 10%; tobacco: 15%. Specified basic goods and services are exempt.

Saudi Arabia

Standard VAT rate: 15%.

Israel

Standard VAT rate: 18%.

UAE

Standard VAT rate: 5%.

South Africa

Standard VAT rate: 15%.

Egypt

Standard VAT 14%; specified goods and services follow applicable reduced-rate or exemption rules.