If I'm VAT exempt do I still Pay VAT 20% and handling fees?

Hi I have been with Envato for few years now as buyer. And I have 2 main questions as I’m sure others would like to know also.

  1. I’m from UK and I’m VAT exempt once I put my VAT in my profile settings do I still pay 20% VAT or I will no longer need to pay VAT as I’m exempt?

  2. Why do I get charged for handling fee? Usually handling fee would mean you actually physically ship product to my address but this is digital goods please refer this from google.

A handling fee is an ““amount charged to a customer on top of the order subtotal and shipping fees”” . It covers the cost of expenses related to fulfillment, such as warehouse storage cost, shipment cost, and packing cost. Handling fees are charged once per order but not to each individual product in an order.

If you charging buyers purchasing fee shouldn’t this be called buyer fee instead of handing fee. I have 3 pages full of items I purchaised and each one I paid handling fee which I’m slightly confused as this would usually apply to shipping or storage of actuall physical product.

Thank you

If you put your VAT in your profile you will NOT pay it :wink:

The VAT that is. You still pay the handling fee.

But what is this handing fee ? I did not know envato has warehouses full of templates or they actually ship physical product to my door step. It’s all digitally downloaded item.

Don’t get me wrong this fee is not massive and I clearly will not go broke playing this fee. Question I have is why this fee is there.

If it’s server costs fine call it

upkeep Fee
Buyer Fee
Auto Tip Fee

Why call it handing fee if nothing is handled ?


I guess they ‘handle’ the transaction. In which case it’s more of a processing fee. I think it might have actually been called that back in the day.