What this policy covers
This policy explains how taxes apply to the fees Luxota charges your agency for its products and services — platform and subscription fees, setup and activation charges, and segment fees. The final tax treatment for your account is confirmed on your official Luxota invoice.
This page describes Luxota's charges to your agency. It is general information, not tax advice for your own business. Any taxes you collect from your travelers, and the taxes you owe in your own country, remain your responsibility.
Currency and listed prices
All Luxota fees are quoted and charged in US Dollars (USD). Unless stated otherwise, listed prices are exclusive of applicable taxes — any tax due is added on top of the listed amount.
How and when fees are charged is set out in the Billing & Payment Terms.
UAE Value Added Tax
Luxota operates from the United Arab Emirates. Where UAE Value Added Tax (VAT) applies, it is charged at the prevailing rate — currently 5% — and shown as a separate line on your invoice.
VAT is calculated on the net fee. For example, a USD 100 platform fee is invoiced as USD 100 + 5% VAT.
Charges VAT applies to
- Platform and subscription access fees, such as the White Label monthly fee
- Full OTA platform charges and segment fees
- Payment gateway setup and replacement fees
- Custom domain change fees
- Other one-time setup or activation charges
Taxes that apply to the travel services your customers buy — such as tourism or city taxes — are handled within the price of those services and are not part of Luxota's platform VAT.
Tax invoices
Luxota issues an invoice for each charge, showing the net amount, the tax rate applied, and the tax amount. These invoices are your record for your own accounting.
If your business needs specific tax details to appear on the invoice — such as a tax registration number — provide them before the invoice is issued so they can be included where applicable.
Taxes on your own sales
Luxota's fees cover access to its products and services. Any taxes arising from your own sales to travelers, your local business taxes, and any income or withholding taxes in your country are your responsibility.
You are responsible for charging, collecting, reporting, and paying any taxes that apply to the bookings you sell through your portal.
Withholding and gross-up
Luxota fees are stated net of any withholding or similar deductions. If the law in your country requires you to withhold or deduct any tax from a payment to Luxota, the amount payable is increased so that, after the deduction, Luxota receives the full fee that would have been due without the withholding.
Changes in tax law or rates
If the applicable VAT rate or tax law changes, Luxota applies the new treatment from its effective date without needing to reissue this policy. The rate shown on each invoice reflects the rate in force at the time of that invoice.
Place of supply and cross-border treatment
Tax treatment can depend on where your business is established and on the applicable law. Where a different treatment legally applies — such as zero-rating or a reverse-charge mechanism — it is reflected on your invoice once the necessary details are confirmed.
If you believe a different treatment should apply to your account, contact Luxota before the invoice is issued so it can be reviewed.