Quote:
Originally Posted by Mike L
Are you sure about that?
In general, when a non-EU retailer sends physical goods to the EU, the VAT is collected at the point of entry. The vendor doesn't collect it. They don't even need to know about it.
With electronic deliveries, my understanding is that the VAT is charged at a composite rate which applies to the whole of the EU. The fact that you are in Luxembourg (which I believe has one of the lowest VAT rates in Europe) doesn't mean that you will pay less VAT on electronic content than if you were in Germany or the UK.
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Mike,
Yes, you are right and I was wrong on this. Amazon.uk calculates the VAT rate for Luxembourg, but for shipments from Amazon.com it depends entirely on whether the package is picked up by customs - this happens quite frequently for our larger DVD orders. It's difficult as I'm away from home to check the exact rate we have paid, but certainly the import duty part is some kind of standard composite tariff - the VAT part may well be Luxembourg VAT (15%) but I might be wrong on this. In any case, we are well used to paying tax on stuff coming from Amazon.com.