The rumours had been around for awhile and not many people knew about it. People that did ignored it since it just felt too stupid to exist. Afterall you hear things like “helping small businesses” and “not letting big companies get too powerful” while this does the opposite. However it turns out it will happen on January 1st 2015. What a shitty way to start a new year right?
VATMOSS (or Value Added Tax, Mini One Stop Shop) is a new EU regulation for Digital services which causes the tax rates to be depending on the buyers location instead of the sellers location. Selling something to germany would mean paying their rates to their authorities.
The MOSS part is so you don’t need to register for every EU country you sell in but thats just like putting a cherry on a dog shit and calling it a Chocolate Sundae. In fact the seller has to identify the buyers location themselves and the rules are so fucking confusing that i refuse to even try explaining them here.
Want to know what Digital services are effected? How about everything. From Ebooks to comics, Paintings to Pictures, Music, Games, Videos and even Ad Space are all things 100% affected by this. There are even rumours that even KickStarters, PayPal and Patreon are going to be hit by this archaic Bullshit. Not to mention they plan on extending it to physical goods by 2016 so thats most clothes sites inevitably gone. And this effects pretty much everyone, doesn’t matter if you’re a Buyer/Seller or from the EU or not, you will get screwed over too.
If you aren’t already pulling out your hair in Stress/Anger then i bet you’d ‘love’ to hear why it was made. The idea was to stop sellers from simply moving to an area with lower tax rates and create a level playing field for all sellers. I’ve heard Amazon was a company that did this and one of the main factors in VATMOSS’s creation. However it doesn’t affect big companies at all, instead it spell certain doom for at least 10% of all Sole Traders and Micro-Businesses. They are essentially ‘punishing’ Amazon by giving them a monopoly. Just shows how much thought they put into this.
I haven’t been affected yet but as someone who can’t find a job I now have no way of making actual money online. Its so bad that it has already screwed me over before i even started.
[Insert 5 opinions from affected people here: want yours in my article? Talk to me on twitter @SamEarl13]
Overall VATMOSS needs to be stopped. It helps no-one and will only cause destruction in the creative industry if left at all. This is not ignorable, we must rise against it now before we run out of time and lose something very important.
If you want more info on VATMOSS check out http://euvataction.org