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eCommerce Discussion Forum Ask questions about web hosting, merchant services and ecommerce issues. Topics include shopping carts, security, payment strategies, storefront partnerships, etc.

View Poll Results: Do you collect VAT taxes for your eCommerce products?
Yes 20 20.83%
No 34 35.42%
I have enough accounting to do locally - I ain't Europe's caretaker! 42 43.75%
Voters: 96. You may not vote on this poll

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Old 11-19-2003, 05:42 PM
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Join Date: Oct 2003
Location: Portland
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thegrafixguy RepRank 0
Default EU's VAT Digital Sevices Directive

Anyone familiar with this piece of work?

It seems that the leaders in Europe want me to be a tax collector for them becasue their citizens hire me to build a web site, host it, or other "electronic service."

Mind you, I do not charge a VAT as I live in the US and do not recognize the taxation process of another state, it is up to that state to collect their own taxes from their own residents.

Despite doing an intesive Google search, all I have discovered is that a few of the big players (Microsoft, Symantec, IBM and so on) have decided to play ball. However, they also have regional offices in the EU if I am no mistaken.

So how can they expect to force Bud and Polly's clip art site (based in the US and operated out of Bud's house) to verify a purchaser is from Sweden and then collect a "sales tax" for Sweden???

Sounds like a bunch a malarkey to me, but I'd love to hear what others have to say and also any "penalties" if US companies "using the british term here" tell the Vat to pi*s off.
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