New on LowEndTalk? Please Register and read our Community Rules.
All new Registrations are manually reviewed and approved, so a short delay after registration may occur before your account becomes active.
All new Registrations are manually reviewed and approved, so a short delay after registration may occur before your account becomes active.
Tax
Hi all,
I am looking at renting a server in the USA, and am living in the UK.
I know about the whole EU VAT thing and I am wondering how it will affect my order.
I am also looking at a server from DataShack and am quoted a total of $59 pm from them under the Total Today and Total Monthly column. Is that all I will pay (so includes the VAT)?
Thanks
Harry
Comments
Why you don't ask DataShack support directly?
I have done that now, was just wondering if anyone else knew before I bothered their support
No, you won't pay VAT on the purchase unless DataShack did choose by themself to get VAT registered - Very unlikely.
UK is often very out from the EU
Thanks for that! I contacted DataShack support directly and they confirmed this. Is there anything that you guys would say to me, if I said that I was going to rent a box from them. What is their support like? How long do they take to reply to tickets? I know what their sales team is like (replies within 40 minutes, on a Sunday!)
legally yes you should be paying VAT but it is not your responsibility so don't worry about it.
In reality less than 1% of all businesses in the EU are even compliant so you can be pretty sure that means 99.9% of the companies in the USA don't give a shit.
On top of that is it being officially reworked by the EU as they have admitted it is totally unsuitable for businesses with a turn over of less than €2,000,000 p/year.
Regarding support, they are a super budget host, if you need support for literally anything except what you cant control e.g. network outage, power issues, hardware replacement, they are the wrong host for you.
@AnthonySmith said:
Sources, please?
Most companies in the US don't care, especially those who have no assets in the EU or don't have any plans of getting established there.
EUSSR
is the correct terminologythe eu parliment. I gave sources in the vultr to charge eu vat thread.
I haven't seen any legislation taking the MOSS VAT system off.
I have not seen any comments in this thread that said that.
http://www.europeanvoice.com/article/commission-rethinks-vat-on-digital-services/
The article doesn't state that it is officially being reversed, they are considering the impact and will take the decision from there. Until then - compliance is compulsory.
I am a member of the EU VAT Action group, it is happening, you can chose to believe that or not, compliance may well be compulsory however less than 1% of businesses even registered (1067 in total I believe) by the end of the first quarter.
HMRC have also got no one for enforcement as yet, so yes it may well be compulsory however that does not mean its being enforced, much the same as the cookie law, it is compulsory but very few people care.
That's not about believing or hoping that you won't get a penalty. The law is the law and has to be followed. There was plenty of notice, and especially in hosting industry it's so easy to implement, WHMCS has it built-in, Hostbill too (after module upgrade). I don't understand the whole problem with implementation. That's very, very, very easy. Especially now that even WHMCS has released a special report that you might cpy and paste the information from to your MOSS assessment.
Come back when you are cookie law compliant., what you have said is full of holes but after a thread with about 50k views and hundreds of posts on exactly this topic that has been going since last year I don't feel like starting over again in this one.
just because your billing platform can help you comply, doesn't mean you should. or WANT to comply.
when I get to €2M t/o I'll think about registering for VAT. until then, I'll wait.
also, if they expect me to charge VAT to a German customer for a German-based service, I expect to be able to reclaim the VAT I pay on buying the service. that has NOT been covered in the current law.
so many holes in this legislation. if it gets tested I think it will fail. which is why it's being reviewed, and also why compliance checking will remain non-existent.
EUSA VAT charges