According to Ren Reynolds:
> If you have customers in the UK then I think VAT will apply to
> subscriptions - there is probably a similar thing for other EU
> countries.
Subscriptions are classified as service, and taxed in the same category
as telephone service, and similar things. I think it's pretty much the
same category all over europe.
VAT applies to all european countries. Thankfully, you do not have to
maintain varied VAT: you use the VAT rates in the country you are
operating from, and you do not have to figure out in which category or
which rate you need to apply to your polish customers vs the one that
applies to your italian ones, for example. If you are in the UK, then
you use the UK tax code as a basis, and you're good to go everywhere
else.
Sales tax and the internet is steadily becoming more and more complicated
in the US, as the various state governments wake up and realize there's
lots of service money around. See the current NY vs Amazon strong-arm
battle about sales tax.
--
Vincent Archer Email: archer@frmug.org
All men are mortal. Socrates was mortal. Therefore, all men are Socrates.
(Woody Allen)