Quote:
Originally Posted by rwillmer
My understanding that is that each EU country will continue to be able to set their own tax rate for B2C electronic services (aka ebooks).
And in fact, that this lack of harmonisation is the direct cause for the introduction of this new bureaucratic nightmare.
So now a selfpub author or publisher selling directly within the EU will have to know:
a) which country in the EU their customer is purchasing from;
b) what the right VAT level is for that country to charge them at the point of sale;
and then
c) at the end of each VAT quarter, submit a different VAT report to each EU member state to pay the right amount of tax in the right currency.
I'm involved in a project where this is a major factor at the moment, so keep throwing questions at the accountants concerned along the lines of "so. this law that is coming into effect in 8 months time... do we need to do THIS or do THAT?" and the answer keeps coming back "don't know. the EU hasn't decided yet"
I wrote a blogpost about this last September...
http://blog.luzme.com/2013/09/sell-e...rope-vat-2015/
Nothing much has changed since...
Rachel
P.S. Common Market, what "Common Market" ? Utter madness... |
Only if you are VAT registered in the country you are selling to (and you only need to be registered if you are above the income threshold). Frankly if you are earning £70k+ (Varies between EU countries) from one country then it shouldn't be too much of a hardship to make the relevant payment, if you are earning this amount from so many countries that you can't keep track then hire an accountant, you can definately afford it at this point.