# Configuring VAT Rates
Learn how to set and manage VAT rates for your automated invoices.
## Default VAT Rate
Most Polish businesses use a standard VAT rate of 23%. This is the default rate in Faktevo and applies to all invoices unless you specify otherwise.
## Setting Your Default Rate
1. Go to Settings > Invoice Settings
2. Find "Default VAT Rate"
3. Select your rate from the dropdown:
- 23% (Standard)
- 8% (Reduced)
- 5% (Reduced)
- 0% (Zero-rated)
- ZW (Exempt)
4. Click "Save Changes"
## Multiple VAT Rates
Currently, Faktevo applies your default VAT rate to all invoices. If you need different rates for different products or services, we recommend:
1. Setting up product-specific VAT in your invoicing platform
2. Using Stripe metadata to indicate the VAT rate
3. Contacting support for custom rate mapping
## Zero-Rated and Exempt
**Zero-rated (0%)**
- Applies to specific goods and services (books, newspapers, export)
- VAT is charged at 0%, but you can reclaim VAT on expenses
**Exempt (ZW)**
- No VAT charged or reclaimable
- Common for educational services, medical services, insurance
Choose the correct classification based on your business type.
## Reverse Charge
For B2B transactions within the EU where reverse charge applies, select "ZW" and ensure your invoice includes the appropriate statement. Your invoicing platform should handle the proper notation.
## Updating Rates
When you change your default VAT rate:
- The change applies to new invoices only
- Existing invoices are not modified
- Processing invoices use the old rate
- Allow 5 minutes for the change to take effect
## Best Practices
- Consult with an accountant to confirm your correct VAT rate
- Keep your rate consistent with your invoicing platform settings
- Document any rate changes for your records
- Review your rate quarterly to ensure compliance
Need help determining your VAT rate? Contact [Polish tax authorities](https://www.podatki.gov.pl/) or consult with a tax professional.