[seydor]

How can you speak for all of EU?

There's ways to make life for small-entrepreneurs easier.

I need this kind of deregulation. Example, i m taking microtransactiosn for my game. Giving out VAT invoices for all of them is an impossible task. You need to account for the different VATs in the area (and how they change over time). The cost of the accountant for all this would be many times more than the tiny amounts of the transactions. So i have outsourced the money collection to a US-based merchant-of-record who withholds a large cut and pays out once.

I think a lot of people can point to friction like this in all the places. This has nothing to do with "rughless growth by investor money", but with common sense. There is too much BS work going on in europe, much more than should be allowed

[omnimus]

It’s not good example as technicaly you are required to pay the “digital product tax” in many countries outside EU (and more are comming every year). Actually if you are based in EU paying the EU VAT is the easiest for you because you collect the taxes (just like any ecommerce store would) and use OSS (One Stop Shop) where you pay them to your country along with your native taxes.

You will probably still need MoR because similar schemes GST (australia, canada, india), russia and yes US sales tax. And those would be a lot harder for you to pay than VAT (US sales tax is particularly complicated ad changing).

Now of course you could not care about paying these (unlike EU that would find out quickly) but it could be pretty unfortunate if one gets stopped on trip to Canada about 7 year old unpayed taxes with fines adjusted for inflation…

[raverbashing]

Thanks, this is the kind of debate that we need

There's a whole nuance being lost on most of these discussions.

[piva00]

Dumb question: wouldn't the USA have the same issue with state taxes varying across the country? Or are state taxes collected from where the company is headquartered and not from where customers are purchasing from?

[omnimus]

They do have same issue. Also companies outside of USA may have to pay many different local types of US sales tax.

Thats why every smaller company selling digital products uses merchant of record.