Oh great :( Now the EU changes the VAT as of January 1st 2010 for Internet services - GoFuckYourself.com

notime · 11-18-2009, 12:31 PM

Got a pile of paperwork today from my accountant about what is to change in the VAT rules in the EU soon.
For tangiable good it's different then for (digital) services btw.

http://ec.europa.eu/taxation_customs...e/index_en.htm

http://www.accordancevat.com/uncateg...across-europe/

Cliffnote about the NEW rules:
If I sell a download or stream to a client in Holland, we incl. 19% VAT as before
If the client comes from Belgium, we would have to use 21% in VAT
If the client comes from the UK, we should use 17.5% VAT
If a client comes from outside the EU, say USA, we would have to use the Dutch VAT 19%
etc. etc.
(before 1-1-2010 digital downloads/streams/services outside your own country or EEC were taxfree I believe)

More rules, more changes, more work, more tax

notime · 11-18-2009, 12:33 PM

From 1st January 2015, this Directive also provides that VAT on telecommunications, radio and television broadcasting and electronic services supplied by a supplier established within the Community to non-taxable persons also established within the Community will be charged in the Member State where the customer belongs.

Broda · 11-18-2009, 12:41 PM

Doesn't it say "that the rules introduced by the Directive 2002/38/EC will be extended from 1st January 2010 as a permanent measure"?
That would mean that it's business as usual, no? Until 2015, at least.

notime · 11-18-2009, 12:56 PM

Quote:

Originally Posted by Broda

Doesn't it say "that the rules introduced by the Directive 2002/38/EC will be extended from 1st January 2010 as a permanent measure"?
That would mean that it's business as usual, no? Until 2015, at least.

Not sure. The 2015 part is for TV, radio and cellphone services, not the Internet I think.
I was a stack of paperwork with lot's of legal terms in it where there was a difference per branche, difference between tangiable good (per sector) and (digital) services, per country in the EU and the rest of the world and with lot's of exceptions.
I am gonna read it again tommorrow more thoroughly, I just went thru it quick today to see the headlines.

Broda · 11-18-2009, 01:13 PM

I tried looking at my local tax/vat office's website and there's nothing to be found about it.
However, I do know that there are going to be SOME changes for sure, since we lease our car via Germany and thus only pay the 19% German VAT. Supposedly we'll have to pay the local 25% from January but, I've heard nothing about that from the leasing company so hopefully they'll forget hahaha

SimonScans · 11-18-2009, 01:56 PM

"...From 1st January 2015, this Directive also provides that VAT on telecommunications, radio and television broadcasting and electronic services supplied by a supplier established within the Community to non-taxable persons also established within the Community will be charged in the Member State where the customer belongs..."
I think thats pretty clear it's no change till 2015

No doubt at all it's going to be a total PITA.

What I hate about VAT is that its a tax on turnover if you make something out of nothing as we do. We have virtually zero input VAT to reclaim. No VAT on flights, no VAT on hosting as it's never in the EU, and no VAT on models. About all I ever get to claim on is dildos and cameras

11-18-2009, 12:31 PM	#1
notime Confirmed User Industry Role: Join Date: Jun 2003 Location: cyberspace Posts: 8,022	Oh great :( Now the EU changes the VAT as of January 1st 2010 for Internet services Got a pile of paperwork today from my accountant about what is to change in the VAT rules in the EU soon. For tangiable good it's different then for (digital) services btw. http://ec.europa.eu/taxation_customs...e/index_en.htm http://www.accordancevat.com/uncateg...across-europe/ Cliffnote about the NEW rules: If I sell a download or stream to a client in Holland, we incl. 19% VAT as before If the client comes from Belgium, we would have to use 21% in VAT If the client comes from the UK, we should use 17.5% VAT If a client comes from outside the EU, say USA, we would have to use the Dutch VAT 19% etc. etc. (before 1-1-2010 digital downloads/streams/services outside your own country or EEC were taxfree I believe) More rules, more changes, more work, more tax

11-18-2009, 12:41 PM	#3
Broda Confirmed User Join Date: Feb 2003 Location: CheapAssDesigns.com Posts: 1,874	Doesn't it say "that the rules introduced by the Directive 2002/38/EC will be extended from 1st January 2010 as a permanent measure"? That would mean that it's business as usual, no? Until 2015, at least. __________________ CheapAssDesigns.com - when you need quality designs at affordable prices. icq: 230-729-205 info \|at\| cheap ass designs dot com

11-18-2009, 01:13 PM	#5
Broda Confirmed User Join Date: Feb 2003 Location: CheapAssDesigns.com Posts: 1,874	I tried looking at my local tax/vat office's website and there's nothing to be found about it. However, I do know that there are going to be SOME changes for sure, since we lease our car via Germany and thus only pay the 19% German VAT. Supposedly we'll have to pay the local 25% from January but, I've heard nothing about that from the leasing company so hopefully they'll forget hahaha __________________ CheapAssDesigns.com - when you need quality designs at affordable prices. icq: 230-729-205 info \|at\| cheap ass designs dot com

11-18-2009, 12:33 PM	#2
notime Confirmed User Industry Role: Join Date: Jun 2003 Location: cyberspace Posts: 8,022	From 1st January 2015, this Directive also provides that VAT on telecommunications, radio and television broadcasting and electronic services supplied by a supplier established within the Community to non-taxable persons also established within the Community will be charged in the Member State where the customer belongs.

11-18-2009, 01:56 PM	#6
SimonScans Confirmed User Industry Role: Join Date: Jun 2006 Posts: 342	"...From 1st January 2015, this Directive also provides that VAT on telecommunications, radio and television broadcasting *and electronic services* supplied by a supplier established within the Community to non-taxable persons also established within the Community will be charged in the Member State where the customer belongs..." I think thats pretty clear it's no change till 2015 No doubt at all it's going to be a total PITA. What I hate about VAT is that its a tax on turnover if you make something out of nothing as we do. We have virtually zero input VAT to reclaim. No VAT on flights, no VAT on hosting as it's never in the EU, and no VAT on models. About all I ever get to claim on is dildos and cameras