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You don't need to charge VAT unless you hit these thresholds: https://www.avalara.com/vatlive/en/eu-vat-rules/distance-selling/distance-selling-eu-vat-threshol
by ArkanExplorer 5y ago
You don't need to charge VAT unless you hit these thresholds:
https://www.avalara.com/vatlive/en/eu-vat-rules/distance-selling/distance-selling-eu-vat-thresholds.html https://www.avalara.com/vatlive/en/eu-vat-rules/distance-sel...
Which at the lowest end is € 35,000 per country.
Countries like the UK for example have a VAT threshold of £85,000 for businesses located inside that country.
This is one of the problems of online marketplaces - they have VAT added to them, even when the individual (small) business doesn't need to pay it.
VAT is a big compliance burden for small businesses which is why every country has revenue thresholds under which you don't need to charge it.
- Silhouette 5y agoUnfortunately, almost everything you're talking about there is about selling physical goods. The rules for electronic sales have been completely different for quite a few years now and are a labyrinthine mess that makes even professional accountants frustrated and national tax authorities screw up the most basic processes. In most cases, they also don't have any minimum thresholds at all, and the few concessions that have been made are quite recent.