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FSAddon European sales will stop

It will affect everybody. Not only EU members. The devs and publishers will need to add the VAT rate of the particular location of a customer to their pricing so care will need to be taken on setting the base price so that the offering is still appealing to a customer. Where a customer did not pay tax (as on our products) they will from now on. For them that is a price hike. Unless they can claim the tax back somehow. With some tax rates exceeding 20% that is effectively an average rise of that amount. Of course the supplier can always reduce the base price to compensate but that means a 20% drop in revenue. And who can afford that these days?

Our government has openly stated that it will be chasing down ways of applying GST (10% goods and service tax in Oz) to all ebay purchases. It will not be too long before a reciprocal agreement is made between Australia and the EU and that GST (or higher) will have to be paid by any Worldwide customer buying ebay goods from Australia.

They are closing the doors on just about every advantage that electronic "shopping" represents to a consumer.

This is a massive opportunity to gather revenue to cover the inadequacies of various governments' financial management of spiraling infrastructure costs, massive public service salary hikes and poor capital purchase decisions.

It is nothing new, the public will bear the burden as usual.
 
why dont you just join with an American partner and host everything on a US or 3rd country web site then sell online?
 
Because...

Quote from Taxamo site:

The rules have actually been longstanding, since 2003. If you are, for example, an American digital service supplier to the EU, then you should be already registered for the non-Union MOSS scheme. In the UK, currently, this is called the VAT on eServices (VOES) scheme. This scheme becomes the non-Union scheme on January 1, 2015.
There is already an obligation to level the playing field. The fact that you are in America or China, the obligation and requirement is the same.
What we [HMRC] and other EU tax authorities are doing is if we found that one of these businesses is non-compliant then through treaties arrangements that we have with the jurisdictions, through information exchange or debt recovery, we would then approach the authorities in those other states to take action to help us to get the debt paid.
Those arrangements are going to be reinforced, and strengthened, effectively in the coming months and years to make sure that there aren’t jurisdictions out there where someone could effectively hide and make those supplies without properly declaring.
 
ejoiner said:
why dont you just join with an American partner and host everything on a US or 3rd country web site then sell online?
Click to expand...


Actually e-shops in the US ALSO have to collect and distribute the VAT of the country in Europe they are selling to ! In fact it is mandatory to do so since 2003 already ! But most chose to ignore that ruling ;-)
It is believed that the EU is having talks with the US to help them enforce that rule from now on !! :dizzy:
 
Francois said:
Actually e-shops in the US ALSO have to collect and distribute the VAT of the country in Europe they are selling to ! In fact it is mandatory to do so since 2003 already ! But most chose to ignore that ruling ;-)
It is believed that the EU is having talks with the US to help them enforce that rule from now on !!
Click to expand...

Time for a Boston e-party then? LOL
stirthepot.gif
 
At least in the EU you can sue people like PMDG for accidentally (or intentionally) deactivating your product and then not answering to their mails regarding the matter, and generally breaking the EU consumer law regarding software refunds and reselling. Friend of mine from Finland claims to have sued them for this. EU at least has some consumer rights that doesn't allow companies to rip off or inflate their pricing or mistreat their customers, this is a good thing.

No fan of the EU myself though, despite these good things there is way too much bureocracy and many policies that just end up hurting themselves. There is too many for me to go on about, and too political. If certain companies decide to stop selling to EU, they can do so. But I am warning you, not only to EU. To Belarus you also can't sell legally to it's citizens unless you applied for a permission to do so and pay VAT to their government. Even worse :very_drunk::very_drunk::very_drunk:
 
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