VAT-free wholesale phone trading explained
In B2B phone trading, VAT treatment can significantly affect your margins. VAT-free transactions — common in cross-border EU trade, exports, and certain margin scheme arrangements — allow traders to move stock without adding VAT to the price, keeping costs down for the buyer.
For traders in Mexico buying iPhone 12 units in bulk, understanding the VAT position of each deal is essential. The difference between a VAT-inclusive and VAT-free price can be 15–25% depending on the jurisdiction.
When does VAT-free apply?
VAT-free wholesale typically applies in intra-community supply (EU to EU with valid VAT numbers), exports outside the EU, and under margin scheme rules for second-hand goods in certain countries. The exact rules depend on where the buyer and seller are based.
When sourcing iPhone 12 from suppliers who offer VAT-free pricing, always ensure the transaction complies with local tax regulations. A reputable supplier will clearly state the VAT treatment on every invoice.
Why VAT-free matters for your margins
If you are a registered trader in Mexico, buying VAT-free stock means lower upfront costs and better cash flow. You are not paying VAT that you then need to reclaim — the price you pay is the net price.
This is particularly relevant for high-value devices like the iPhone 12, where the VAT amount per unit can be substantial. Across a bulk order of hundreds of units, the difference is significant.
Find VAT-free wholesale stock
Sellify makes VAT treatment transparent on every listing. Filter by VAT type, compare net prices from verified suppliers, and source iPhone 12 stock with clear invoicing. Sign up to start trading.