The implications to small firms will be tremendous. Yet another idea to stop the Big Guys making more example Amazon based in Luxembourg and only charging the client the low rate of VAT that Lux charges.
Somehow it’s always the little guys that suffer.
http://www.dailymail.co.uk/news/article-2893055/EU-diktat-VAT-kill-thousands-online-firms-Businesses-hire-accountants-comply-new-complex-tax-system.html
Buy from outside the EU or pay from outside, get round it. Do as businesses will do. In fact, often the same goods ordered from the USA come direct from the European supplier but cost less to begin with. I have done it because I shop around to save.
2016 it says here
http://www.telegraph.co.uk/technology/internet/11295953/How-the-EU-is-throttling-online-business-with-idiotic-VAT-reform.html
Quoted from article …Even worse, they intend to expand the scheme to cover all online shopping, even for physical goods, by January 1st 2016; so this might be one of the last Christmases where you can shop at micro businesses online.
However, it’s not too late to act – today the government is being lobbied in the hopes they will act sensibly and prevent these rules from coming into force in the UK. From 10am today, the UK action group is going to try to make as much noise as possible on social media on the hashtag #VATMESS – particularly aimed at treasury minister David Gauke MP – in the hopes the UK government at least will see sense.
Take a look at this Rothermere gem:
http://www.private-eye.co.uk/sections.php?section_link=in_the_back&issue=1382
Anti-EU family, don't even support the UK though...
The new directive does seem to be relatively limited in scope. As to the profits made by Amazon and others their use of Luxembourg is an exercise in taking "loans" from Amazon Luxembourg the interest they pay being used to offset against profits in UK. This reduces very significantly Amazon UK's exposure to Corporation Tax in the UK.
Typical Daily Mail anti EU propaganda. Pretty rich coming from serial tax avoiders the Rothermere family see
http://www.mirror.co.uk/tv/tv-news/ian-hislop-lets-rip-daily-2339529
Some of us have briefly discussed this already and it seems not to concern the small businesses that much. If the legislation is examined and not anti-EU newspaper reports then it is not what it is being made out to be. I was worried as somebody using firms who might be affected, but having looked closer over the last couple of weeks see that in UK reports it is being somewhat exaggerated to add coal to the fire in seeking a referendum to leave the EU. Foolishness.