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Various VAT and sales taxes often apply based on where the purchaser is, not where the seller is. So if I sell an ebook from the US to someone in Germany, I be
by jimkleiber 5y ago
Various VAT and sales taxes often apply based on where the purchaser is, not where the seller is.
So if I sell an ebook from the US to someone in Germany, I believe I'm supposed to retain and remit VAT for Germany. If someone is in France and buys the ebook, I have to retain and remit the French VAT to France, etc.
There are some thresholds where if I sell below that, I don't think I have to remit, and those seem to vary at least across Europe, let alone all the US states and other countries.
Personally, I believe it's a mess and geographically based governments really don't know how to manage virtually based human interactions and they're just stamping old systems onto new ones. Yet, AFAIK, that's why a B2C seller is supposed to know the physical location of the buyers.