USA companies also have to charge their EU customers with VAT now.
 

SO its not just european its USA as well....

Need to charge all EU customers 17.5%

http://www.ecommercetimes.com/perl/story/31195.html

No they dont.

They need to charge VAT to European customers based on a sliding scale ranging from 15% to 25% depending on the country that the EU customer resides in, this is old news.

It's still high as fuck

yes old news but how many people here are doing it?

and why are none of the processors doing it?

If you don't pay it, how are they planning on enforcing it?

Because as Americans, we know the EU is meaningless to us. :winkwink:
if you don't have an office based in the EU, there is no need to comply with those jokers.
We don't have to hurt our businesses so they can pay for their ridiculous socialist programs.:1orglaugh

but what if ur processor as an office there surely there at risk by not setting this up.

actually its a bit diff in the EU, say an american company sends you something in worth of US$100.

they will deduct the sales tax in the US and when it arrives within the country in the EU customs will look and see what it is. If its under a certain value (they have guidlines for that its called the intrastats) they will just send it to you. If its above they will charge you both importtax and VAT. Mind you VAT ALWAYS has to be paid to the tax agency in the country where you live in.

Whats more important then VAT (although it can be 25%) is importduties. These can be as high as 40-50%. They are lookin at internet transactions to determine if they (the EU) can setup a system how to set a fixed importtax for transactions (like subscribtions)

All together another reason to keep your money outside the EU :)

Same here. i don't give a shit about the USA regulations... no need to comply with those right wing christians born again loosers....
Don't have to hurt my business to pay for their ridiculous imperialist wars...

LOL.... can twist anything around.

99% of the EU processors like ccbill-eu verotel ibill-eu etc are situated in offshore/taxfree areas in europe like gibraltar cyprus etc

that way they dont have to comply and its difficult to get tax details from banks in these countries.

still its not 100% safe i agree..

If you charge thenm in USD u dont have to worry.

oh cool so if we charge our customers in us$ we dont have to pay taxes in holland :) got any other great ideas ?

especially the truth.:1orglaugh

Some further reading:

http://www.foreignresources.com/arti...vat-laws.shtml

http://www.foreignresources.com/arti...-refunds.shtml

The easiest to twist...

BTW, any WMD ???

:1orglaugh

yes and thats exactly where the EU goes wrong, they do claim they want the VAT but since ages paying VAT is determined by the place where the actual transaction finds place (plaats van handeling en transactie)

now thats a tough one, cause when we sell something on an american server with a european processor and an australian customer where is the "place of transaction"

its a mess and ive never heard one solid answer from the dutch tax agencies about this. one guy says this the other says that, a mess like i said. the worst was a taxguy who told us we had to keep an administration of eu/non eu customers and pay tax over the income that was generated OUTside holland but due to EU citizens...

Nope, after the UN found them, they went on to give iraq 10 years to hide them.
I'm sure you're very proud.

Good FAQ here

http://www.natrak.net/taxonomy/page/or/35

Click on FAQ near the top.

so USA ignores theres laws then surely us people based in the EU are at a massive disadvantage as we in some cases have to charge customer 25% MORE for buying a product from us!

I haven't heard lately that Saddam is "just about to be captured", now it's back to UBL still plotting. GWB for 4 more years :GFYBand or it's going to be fucking boring

No! don't you see??? you are at a great advantage because of all the extras that 25% gives you!

yeah socialism!

bump

Actually, I totally agree with you, if I were you, I wouldn't pay taxes to a goverment that I don't have any part of and don't like how they do things. It goes both ways, I say heck with EU socialism and you say heck with US right-wingers.....We're BOTH correct :thumbsup

There isn't much the EU can do about it really. If a US company doesn't want to charge the destination countries sales tax they can still send the goods / services and the customs in the receiving country will add import duties and sales tax to it.

Fact is, the problem is just as bad the other way around. :( When doing minor transactions like via PayPal anyone in the EU needs to add sales tax to the transaction. Unless they can really prove and I mean "really" prove that the recipient is located outside the EU. And in case recipient is within the EU and the seller doesn't want to add the sales tax he'll have to have proof of the recipients local tax id and subsequently fill out a tideous form. But that still leaves room for scrutiny because how on earth will a $40 transaction bear to first have to check the validity of a tax id in a foreign country and then have to fill out a form. How's that for beaureaucriciy?