Quote:
Originally Posted by pdurrant
This is just wrong. VAT bill due from amy business is precisely the difference between the amount of VAT collected from sales, and the amount of VAT paid out in purchases. It has nothing to do with corporation tax, which is a tax on profits.
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Yes, also on the KDP pricing page, you set the TOTAL retail price for each Market place. Amazon calculates the VAT exclusive price (which is NOT just the EU and GB will not be ditching VAT, just not sending part of it to EU), the royalty, the "delivery charge" (I hope is just for Mobile?) and the "royalty".
Amazon's Corporate Tax bill is unrelated to VAT collection. There has never been any suggestion of VAT fraud. Sky was doing dodgy stuff, in Ireland they charged IRISH VAT on installs, but sent all VAT on Irish subscriptions to the UK VAT people.
VAT Carousel Fraud is quite a different thing.
Also historically Amazon was putting all retail profit into acquisitions and building datacentres, both tax deductible expenditures. Now they are doing avoidance on AWS profits. That's nothing to do with VAT.
The publisher set price includes VAT or Tax at whatever rate it is. IMO the publisher should not be setting retail price, but a cost to Amazon, then Amazon should charge whatever they want. The supplier pricing model for all "esales" seems broken and a throw back to before the 1960s when makers set retail prices. That's illegal now for physical products. They set a price to the retailer, not the customer.