There has been a lot of frustration and confusion regarding the new EU VAT MOSS law, also referred to as VAT MESS #VATMESS. The new law states that VAT should no longer be calculated based on from where the book is sold, but rather based on the location of the customer. On top of that, you would have to store evidence securely for 10 years of buyer location.
If you were to handle this yourself you would either have to:
- Register for VAT in each EU country you supply to, or
- Register to use the VAT Mini One Stop Shop (VAT MOSS) online service.
At Bookpres, we have also had our challenges concerning handling these new requirements since this new law can be a potential business killer for many independent authors. But after carefully looking into these new requirements, we have found a solution that will still make it easy for you as an eBook author to sell your work in the EU. Bookpres are going to take the burden away from you by handling the VAT MOSS on your behalf, and soon our Terms and Conditions will reflect these changes.
To make sure everything is handled correctly, we have integrated a service called Taxamo:
“Taxamo provides real-time Software as a Service (SaaS) solution for compliance with the new 2015 EU VAT rules on the sale of e-services. It is a unique end-to-end service that enables digital merchants to achieve compliance with the rule changes, without impacting the existing customer journey.”
Quote from – www.taxamo.com
So what does it mean that Bookpres
will handle your VAT MOSS?
You still determine the price of your eBooks, but we have made a decision about how the different VAT should affect your/our customers. All customers pay the same for the eBooks, regardless of the VAT rate of the country from where the eBook is purchased.
€10 eBook example
- In Denmark, the VAT rate is 25%.
The price the customer pays is €10 with €2 VAT included.
- In UK, the VAT rate is 20%.
The price the customer pays is €10 with €1.67 EURO VAT included.
So all you need to do is to focus on getting your books out there for others to enjoy.