Do US citizens have to pay taxes ( VAT ) on Google Ad Words?
 

The topic says it all.

EU citizens have to pay 21%.....

21% ?! only in poland I guess or are there any higher taxes in the EU?Anyway ad costs are tax deductable and if you have a VAT ID you don't have to pay them to google.

nope

Here's a tip:

Provide them with a fake US address, look one up in the white pages, and use your Epassporte virtual card.

No sales tax :)

I think it's the default tax rate for the EU.

You are in Germany? So how much do you pay?

Sorry, I misread the question.

Never mind.

Got ICQ?

16%, a default EU tax for google would be new to me.I have a VAT ID so I don't have to pay it to google and I can deduct all the ad costs from my taxes.

Well, everyone should pay income tax..But you don't earn money with AdWords - you spend it on them... :2 cents:

The VAT rate will depend on where they're located. Google are based in Dublin, Ireland so it would be 21% VAT.

If you have a VAT number from any EU country, you can quote that to be exempt or as someone said use an address outside the EU.

Ok, thanks...as I said in other thread I haven't been using AdWords for a while... :)

Yeah I guess there is no google in poland so he got to use google europe based in dublin or the US and pay the taxes.

In germany there is google germany that does german support and collects wire payments.I guess that's why I never saw something about 21%.

damn I'll make sure not to register my business here :)

Wait...

European Union Companies must pay taxes on its advertising budgets?

ROFLMA!

Ahahah now thats ass backwards.
Can only imagine what television is like to advertise in.

Advertising costs are deductable so it doesn't really matter beside you make overall losses :thumbsup

It sucks like hell

You're competing against US citizens who already have a tight margin, now deduct 21%

You provide your VAT # and you don't get charged.

Whats the rate for the advertising tax?

% deduction flat or it scaled by business income brackets?

VAT is for consumers, not businesses. The normal and reduced rates for each country are listed here:

http://www.eurotax-vat.com/fiscaleurope.html

The rates are based on the category of the product. Food products have the lowest VAT, alcohol and cigarettes have the highest.

Thanks for all your replies guys :winkwink:

I'm sure someone has more information than it has been given in this thread so far - so *

That's correct for companies. But how many people on GFY have a company? :winkwink: