As of January 1, 2015, Albania requires non-resident entities like Twilio Inc. & its affiliates (“Twilio”) to collect Value Added Tax (VAT) for any Electronically Supplied Services (“ESS”) sold to non-registered VAT customers located in Albania. Twilio will begin collecting this VAT starting in July 2026 . This guide covers how Twilio charges VAT and what services are taxable.

Notice: Twilio services may be subject to tax in various countries, states and/or localities.  To see if Twilio collects taxes in your country, please see the Taxes section of our Support Help Center

The following topics are discussed in this guide. Click a topic to skip directly to this information:

• Value Added Tax (VAT) overview.
• When will Twilio start charging VAT in Albania?
• How can I be tax exempt for VAT?
• I am a business, but do not have a VAT number. I am not required to register for VAT since my business falls under the required sales threshold for registering.
• How do I enter my VAT number?
• How is VAT determined?
• What rate is VAT charged in Albania?
• I forgot to enter my VAT number, but am a VAT registered B2B customer - Can I get a refund?
• Where can I see the VAT charged on my Invoice?

Value Added Tax (VAT) overview

The Albanian General Tax Directorate (Drejtoria e Përgjithshme e Tatimeve - DPT) passed legislation (Law No. 92/2014 “On Value Added Tax”) requiring non-resident entities selling digital services to collect and remit a 20% Value Added Tax (VAT) on its sales to non-registered VAT customers located in Albania. Non-residents are only required to apply VAT on Business to Customer (B2C) transactions. Business to Business (B2B) transactions will not be charged VAT if a valid VAT number (NIPT) and a supporting verification screenshot is provided by the B2B customer. 

E-Tax Shqipëri - Value Added Tax (VAT) Overview for Albania The E-Tax Shqipëri site is the official online tax portal run by the Albanian DPT. In Albania, it is possible for a business to have a valid business tax ID (NIPT/NUIS) but not be actively registered for VAT purposes. Because of this, Twilio cannot give an exemption based on a VAT number alone; we must verify that your business is actively registered for VAT in the official E-Tax Shqipëri registry. To confirm your B2B status, please send a screenshot of your "E-Tax Shqipëri" registration page (showing your NIPT and "Registered for VAT" status) to taxhelp@twilio.com.

When will Twilio start charging VAT in Albania?

Twilio will begin collecting VAT on services sold to customers located in Albania starting in July  2026. VAT is assessed and applied to your account at the start of the month for the previous month’s usage. For example, you will be charged VAT for your July usage in August.

How can I be tax exempt for VAT?

B2B customers with a valid VAT number (NIPT) will not be taxed on our end.  In order to be exempt, B2B customers need to enter their VAT  number in the Invoicing Settings page in Console. However, B2B customers are still responsible for the VAT and should self-assess the VAT  through the reverse charge mechanism on their Albanian VAT return.

I am a business, but do not have a VAT number. I am not required to register for VAT since my business falls under the required sales threshold for registering.

The VAT laws for nonresidents are designed to capture VAT from B2C consumers and from B2B consumers that fall under the sales threshold. Unless a B2B customer can provide a valid VAT number, they will be considered a B2C and the transaction will be subject to tax. Non-residents are not required to tax B2B customers with valid VAT numbers since B2B customers are supposed to self-assess the VAT on their end

How do I enter my VAT number?

B2B customers can enter their VAT number in the “Business Tax ID” field on the Billing Preferences page in Console.

A valid Albanian NIPT (Numerical Identification of Taxable Person) typically follows a format such as J12345678L. You need to be registered for VAT purposes in order to be exempt.

How is VAT determined?

VAT is applicable based on the type of products or services that are purchased. We have determined that most of Twilio's products & services are subject to VAT as Electronically Supplied Services.

Please confirm your service address is up to date in the Twilio Console for accurate taxation in the correct jurisdiction. For help updating your service address, see How do I Update my Billing Settings.

What rate is VAT charged in Albania?

Twilio's services will be subject to the 20% VAT rate as determined by the Albanian General Tax Directorate (Drejtoria e Përgjithshme e Tatimeve - DPT).

I forgot to enter my VAT number, but am a VAT registered B2B customer - Can I get a refund?

If you are a B2B customer with a valid VAT number in Albania, please contact our Support team for a credit of the VAT amount charged within 90 days of the initial charge. For invoices issued in closed periods, we will credit the VAT charged in the following month’s invoice. You will see the credit listed as Promo - VAT.

Where can I see the VAT charged on my Invoice?

VAT can be found on your invoice in the Usage Summary section under “Taxes”. This line item represents the VAT charged.

Tax calculation is explained on the Tax Details page:
 

For more details, see Reading your Twilio Invoice.