Important for ALL Sellers !!

[TheAdminMarket]

Originally Posted by HM666

Its makes absolutely NO sense for them to try and collect taxes from a country they are not in!!! That is ludicrous! There is no way they can enforce it outside of the EU. Yeah, ok they maybe able to black list web site URL's but then I'm sure if that happens quite enough they will get sued.

They can, on the same way than they issued the "Safe Harbor Privacy". As for the law, even if I don't know how it will works, it has been already accepted by World Trade Organization, 3 years ago. Just came the time (after the "trial" period) to start valid. So it's an international law.

PS: "Trial" period: Don't know the word. It's the time frame which they allow before the law being active.

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Originally Posted by ForceHSS

Even if they block an IP there are ways around it. And how are they going to make someone who sells on to say ebay charge the extra I know they won't make me do it

Really don't know. I'm not a Lawyer not even an Accountant. What I know that there is such rule valid from Jan 1st, 2015. Also, as I've post before, Envato Marketplace and Hostgator Hosting company, will start collecting this VAT from that day. Actually Hostgator started it from middle of November, don't know why.

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Originally Posted by ForceHSS

....who sells on to say ebay charge the extra I know they won't make me do it

As I said, it's only for electronic services/downloadable products, and as I know most items on eBay are tanginle products. For them the new rule has no effect.

But I found this article:
http://tamebay.com/2014/11/ebay-eu-v...-jan-2015.html

[HM666]

When they say a Trail Period. It means that they are trying it out for a certain length of time. Like a Netflix account, they have a trail period of 2 weeks where they do not charge your credit card, then after its up they charge you for the month. Its just simply a time frame that they are trying something out.

[Paul M]

Originally Posted by NickTheGreek

They'll blacklist your domain from all European ISP. This mean that nobody from Europe will be able to access your site.

No they wont.
That would be impractical to impose and maintain, and incredibly easy for anyone to get around.

ISPs are also extremely reluctant to block anything, and only do so when forced by law, and afaik, there is no such law for this.

[HM666]

Yeah that was my thinking. They are not going to spend the time & money to try and do that to everyone, nor can they.

[ozzy47]

Interesting article on Forbes, http://www.forbes.com/sites/janetnov...-and-services/

[TheAdminMarket]

Originally Posted by ozzy47

Interesting article on Forbes, http://www.forbes.com/sites/janetnov...-and-services/

Interesting as it seems to be the most detailed article, but as it was long I lost the meaning. Tried with Google translator was worst.

In general, with a simple YES or No, does it says what I've understood from other articles?

1.- Are non EU based companies (eg from USA, Canada, Australia etc), obligue to collect EU VAT since Jan 1st, 2015.

2.- The VAT rate is now depending on the clients country and not on the seller's country. Right? eg tilll now I was collecting 23% even my client was from UK or Germany where they have different rate. Now I must collect (eg) 19% if he is from UK, 21% if he is from Germany etc

Thank you

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PS: Does anyone knows if vBulletin will update Subscription manager to support this rule?

[HM666]

Originally Posted by NickTheGreek

Interesting as it seems to be the most detailed article, but as it was long I lost the meaning. Tried with Google translator was worst.

In general, with a simple YES or No, does it says what I've understood from other articles?

1.- Are non EU based companies (eg from USA, Canada, Australia etc), obligue to collect EU VAT since Jan 1st, 2015.

2.- The VAT rate is now depending on the clients country and not on the seller's country. Right? eg tilll now I was collecting 23% even my client was from UK or Germany where they have different rate. Now I must collect (eg) 19% if he is from UK, 21% if he is from Germany etc

Thank you

--------------- Added [DATE]1419781406[/DATE] at [TIME]1419781406[/TIME] ---------------

PS: Does anyone knows if vBulletin will update Subscription manager to support this rule?

Nick perhaps the best thing for you to do is in setting up your shop treat the VAT charges like shipping. in many shopping carts they have shipping that can be configured according to each country, state etc and so is the case with taxes usually. This might be the easiest way for you to keep up with 19% here 25% there 10% here and so on. So you would just have to place the VAT for each place.

The article stated that you can reset your prices to include collecting the VAT tax from consumers if you wish. So let's say you normally charge $49.95 for a mod that you sell in your store and the highest VAT tax is say 27% you would up your prices from $49.95 to $63.44 is the exact amount at 27%, you could round it off to say $63.45 to give a nice normal number people are used to.

And yes according to that article you will have to now collect the actual amount of VAT from which country the person is located in. So you will HAVE to have your cart set up to force them to put in their address.

[TheAdminMarket]

Originally Posted by HM666

Nick perhaps the best thing for you to do is in setting up your shop treat the VAT charges like shipping..

Well see how I've setup it:

1.- In Taxes table you can add rows like:

Title : EU-EL VAT 23%
Tax: 23

Title : EU-DE VAT 21%
Tax: 21

and so on..........

2.- In Delivery Locations table you can add:

Location: USA
Tax: None
Shipping: None
Is EU Country: No
Is Shop Country: Yes

Location: Greece
Tax: EU-EL VAT 23%
Shipping: Area A
Is EU Country: Yes
Is Shop Country: No

Tax and Shipping are selections from droplists. I did it this way as some sellers for their own reasons should not collect VAT. In this case they will select "None" for Tax.

The reason that I added that "Is EU country" and "Is Shop country" are:

1.- If "Is EU Country" is Yes (and offcourse if Tax is not "None"), then during checkout the user must fill a field with his VAT id. Should be an automatic validation with EU authorities. As I seen they have upgraded their system and now not only it returns True/False but also returns the Full name and Address.

2.- That "Is Shop Country" needs for a special way. The actual way that VAT collections works is:
a] Non EU : No VAT
b] EU client but not sellers country:
b1] With valid VAT id: No collection
b2] Without VAT id: Collection
c] That the most important: When Seller and Buyer are from the same EU country then with or without VAT id you must collect VAT. That's why I added that field to check when they are the same.

As for the Shipping. VAT is different than the Tax that you know. Goes only to net price of product/service and not to extra like shipping.

[HM666]

Sounds like you have it set up pretty much the way I was suggesting.

[ozzy47]

TBH, I think this is more targeted at digital download giants, like music, app's for phones and such. I don't see them worrying about some guy, with a website that offers mods/styles/services for vBulletin for sale.