Knowledge Base

Account Credit Loading and VAT Mechanism: Balance Reflection and Order Usage Guide

During the account credit loading process, you may be surprised to see that the amount reflected in your balance differs from the amount you paid. This situation arises due to VAT (Value Added Tax) regulations applicable in Turkey and is a completely legal procedure. In this guide, we will explain in detail how the account credit system works, how VAT calculation is performed, and how your balance is used during the order stage.

How the Account Credit Loading System Works

When you load account credit on LivaProxy, not the entire amount you paid, but the net amount excluding VAT is added to your balance. This system allows us to transparently manage our customers' tax payments and comply with legal requirements in invoice issuance.

Sample Calculation

Let's say you want to load 8,000 TRY worth of account credit. In this case, the calculation is performed as follows:

• Total Amount Paid: 8,000 TRY (VAT Included)
• VAT Rate: 20% (Standard VAT rate in Turkey)
• Net Amount Calculation: 8,000 TRY ÷ 1.20 = 6,666.67 TRY
• VAT Amount: 8,000 TRY - 6,666.67 TRY = 1,333.33 TRY
• Amount Reflected in Balance: 6,666.67 TRY

Thanks to this calculation method, the taxes you pay are recorded in the system and correctly displayed on the invoices issued in your name.

VAT Deduction and Net Amount Usage During Order Stage

When creating an order with your account credit, our system automatically performs reverse VAT calculation and deducts the net amount from your credit balance. Thanks to this mechanism, there is a difference between the amount shown in your balance and the shopping amount you can make.

Order Example

Continuing from the example above, the shopping amount you can make with your 6,666.67 TRY account credit is:

• Your Account Balance: 6,666.67 TRY (Excluding VAT)
• Order Amount (VAT Included): 6,666.67 TRY × 1.20 = 8,000 TRY
• Possible Shopping: You can purchase 8,000 TRY worth of products

Thanks to this system, you can shop for exactly 8,000 TRY with the credit you loaded by paying 8,000 TRY. There is no loss or missing amount.

Why Is This System Used?

Reflecting the amount excluding VAT in the balance in the account credit system is based on several important reasons:

1. Legal Requirements

According to the tax legislation of the Republic of Turkey, VAT must be calculated separately in commercial transactions and the net amount and VAT amount must be shown separately in invoice issuance. This system ensures full compliance with legal obligations.

2. Transparent Pricing

Our customers can clearly see the product price, VAT amount, and total payment amount at every order stage. Thanks to this transparency, you can clearly track how much tax you pay and how much you pay for the service fee.

3. Accounting Convenience

For our corporate customers and businesses, this system facilitates keeping accounting records and preparing tax returns. The net amount and VAT information on invoices can be transferred directly to accounting systems.

Steps to Place an Order with Account Credit

The steps you should follow when placing an order using your account credit are as follows:

1. Product Selection: Determine the proxy service and package options you want.
2. Add to Cart: Add the selected product to the cart and proceed to the order summary page.
3. Payment Method Selection: Check the "Account Credit" option among payment methods.
4. Amount Check: Check the net amount, VAT, and total amount information in the order summary section.
5. Balance Check: Make sure your account balance covers the net amount of the product.
6. Order Confirmation: Confirm your order; the system will automatically calculate the total amount including VAT and complete the transaction.

Sample Order Scenario

Let's go through a detailed order scenario for better understanding:

As seen in this example, only 833.33 TRY will be deducted from your account balance for a product worth 1,000 TRY, but you will have purchased a service worth 1,000 TRY. The system automatically calculates the VAT and completes the transaction.

Common Situations in Account Credit Usage

Insufficient Balance

If you do not have enough credit in your account balance to cover the net amount of the product you want to purchase, the system will warn you. For example:

• Product Amount You Want (VAT Included): 2,000 TRY
• Required Net Balance: 1,666.67 TRY
• Your Current Balance: 1,500 TRY
• Result: You need to load an additional 166.67 TRY credit or choose a different payment method.

Partial Payment

In some cases, your account credit may not be sufficient to cover the entire order. In this case, you have two options:

1. You can make an additional load to increase your account credit.
2. You can use your balance for a different product or lower package option.

Invoice and E-Archive Transactions

On invoices issued for your account credit loading transactions, VAT information is shown in accordance with legal requirements. The information included in your invoices:

• Net Amount (Goods Service Fee): Payment amount excluding VAT
• VAT Rate and Amount: Applied tax rate and calculated VAT amount
• Total Amount: Amount to be paid including VAT
• Invoice Number: Unique invoice number for tracking and recording purposes

You can access your invoices from the "My Invoices" section in your customer panel, download them in PDF format, and use them in your accounting records.

Special Notes for Corporate Customers

For our corporate customers, the account credit system offers significant advantages in terms of budget management and financial planning:

Tax Deduction

The VAT you pay for proxy services can be subject to deduction in your corporate tax return. The VAT information on your invoices is used in calculating these deductions.

Accounting Records

Thanks to the account credit system, you can make your bulk purchases with a single invoice and simplify your accounting records. Instead of making separate payments for each order, you can plan the entire period by loading credit at the beginning of the period.

Cost Control

Thanks to our balance viewing and spending tracking features, you can instantly monitor the expenses made for your proxy services and manage your budget effectively.

Frequently Asked Questions

Can the credit I loaded be refunded?

Account credit loads are stored as balance in our system and used in product purchases. Your unused credit balances remain in your account and you can use them whenever you want. According to our refund policy, account credit refunds are only made in special cases and as a result of evaluation.

What happens if the VAT rate changes?

VAT rates in Turkey are determined by legal regulations. In case of any rate change, our system automatically calculates according to the new rate. Your current balance is not affected, but the current VAT rate is applied to your new orders.

How can I check my balance?

After logging into your customer panel, you can see your current credit balance on the main page or in the "My Account Information" section. In addition, your balance is automatically displayed on the payment page before each order.

Support and Contact

If you have any questions about account credit loading, VAT calculations, or balance usage, you can contact our 24/7 support team. You can reach us by creating a support ticket or through our WhatsApp support line.

Our team is ready to assist you with all your financial transactions and provide clear answers to your questions.