TaxCorporate TaxEU under pressure over VAT on e-publishing

EU under pressure over VAT on e-publishing

Dutch group Reed Elsevier, is leading the call from educational publishers for the European Union to make sales of electronic information VAT free.

Reed Elsevier clocked electronic information sales of more than £1bn in 2001 and argues that it should not be liable for VAT on the grounds that similar material published in newspapers, magazines or books is zero-rated, the FT reported today.

It also believes the decision to charge VAT on e-goods is holding back the EU releasing new technology for treating paid for information.

VAT is not charged on electronic items sold in the US and Asia.

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