Small Business Reading Room


Friday, June 09, 2006

 

EU extends sales-tax rules for Internet companies

EU finance ministers on Wednesday extended the current sales-tax system for Internet-based services until the end of the year, after failing to get unanimous support for changes that would see value-added tax charged in the country where the customer is based.

EU extends sales-tax rules for Internet companies until year end

The current method -- which was due to expire on June 30 -- has some Internet companies charging VAT in the country where their customers live, while services such as telecommunications and pay TV are sometimes charged in the country where the supplier is headquartered.

Yes folks, now matter where you are in the world, politics usually boils down to dollars and cents (or Euros).
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