Collecting VAT for all EU countries
When you are retailing in the UK and selling your wears abroad – if you are a registered V.A.T company you can charge the V.A.T that is taken from your goods to any country in the EU.
There’s a really easy way to do this – basically use Magento’s inbuilt tax system.
If you click on manage tax zones & rates you can add countries to your list. For each country just select the country name from the drop down and add the percentage of tax you’d want to charge. (in this case 17.5%).
Where you have added your complete list of countries you then navigate to the Manage Tax Rules page.
Here you can enable your tax rates and by using the multiple select tool you can select all your new countries.
Now when you check your tax rates for other countries they come up in the quote calculator!

March 12th, 2010
Thank you for posting this, I didn’t know Magento had this feature until now