Quote:
Originally Posted by HarryT
No; it's covered by EU law. Amazon sell ebooks from a company in Luxembourg because it makes them cheaper for their customers to pay 3% Luxembourg VAT rather than 20% UK VAT. Sure, that benefits Amazon by getting them more customers, but it also benefits us in the form of lower prices.
(EU law is changing in 2014 to prevent this, BTW.)
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It is already against EU law. Luxembourg is not allowed to charge a 3% rate on eBooks, but are doing it anyway.
The EU law change is not to prevent charging 3%, but to make it so that VAT is charged at the rate of the consumer's country, not the base of operations.