EU sales tax wrangle settled
Consumers buying electronic goods online to be charged VAT rates of the country of sale, as long-running dispute is resolved
EU
officials have said that a stand-off relating to the payment of VAT on
electronic goods bought online has been settled.
Online buyers of electronic goods will now be liable to pay VAT at the rate
imposed by their country of residence instead of the tax imposed by the country
their purchases came from.
EU finance ministers agreed the change as part of sweeping reforms of the
region’s value added tax regime.
The policy shift, which has been made in light of the upsurge in online
services since the EU laid down VAT rules, is set to be introduced in 2015.
Further reading:
Pan
European tax system demanded