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New EU VAT laws are fucking insane.


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Wow, good on Bandcamp. I hope that this headache doesn't threaten their bottom line too much, otherwise we might all be paying extra for the inconvenience.

 

Really ridiculous piece of legislation.

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UK HMRC has published a flow chart which suggests that downloads sold through a third party marketplace are not eligible for VAT. Their guidance states that “if the platform operator identifies you as the seller but sets the general terms and conditions, or authorises payment, or handles delivery/download of the digital service, the platform is considered to be supplying the consumer. They are therefore responsible for accounting for the VAT payment that is charged to the consumer.” However, as Bandcamp’s current system sees buyers and sellers dealing with each other directly, it is not considered a third party marketplace for now.

 

Bandcamp doesn't fall into the category in the flow chart apparently

 

https://bandcamp.com/help/selling#tax

 

Going to need to just stop selling through them until either they update their t&c's or there is an amendment to the EU legislation I guess

Ok, that makes more sense.

 

Also, it's good to see some action against the tax evasion practices of those big global corporations. I know it doesn't make much sense in the context of bandcamp, but the amazons being able to sell a whole bunch of stuff and redirect the cashflows to places with low taxes Makes even less sense. Go eu!

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i use bandcamp but i feel bad about charging even 1 quid. music should be free. no harm in getting a real job :-) (trolling a little here hehe)

 

the eu stinks. murders ukranians, pockets the dough of poor musicians, tries to forment war against christian russia. it's lucifer's EU.

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now you know how wheat, honey, barley, milk, etc producers feel

 

fleeced by the devil

 

Considering most agricultural producers are subsidized by the governments of their respective countries anyhow, I imagine they don't feel too badly.

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I am not sure this is going to be able to work. I have a feeling Bandcamp's CEO spoke ahead of their legal department. It seems like it would be really tough for them to file all your taxes for you without taking on liability for those taxes, which would send anybody legal into something resembling a seizure.

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I am not sure this is going to be able to work. I have a feeling Bandcamp's CEO spoke ahead of their legal department. It seems like it would be really tough for them to file all your taxes for you without taking on liability for those taxes, which would send anybody legal into something resembling a seizure.

This is incredibly easy. Bandcamp is in the best position to do this. They collect the taxes from the buyer, all they have to do is send it to the proper countries (and they have access to all of that). Payroll companies in the US do the same thing when they collect money from each of your paychecks and then send it directly to the IRS. Why wouldn't they take liability? They are collecting the money, and they know exactly where it's supposed to go. They have a huge vested interest in being able to handle all of this bullshit, or else people won't use Bandcamp anymore...

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Be funny if aphex had already set up 'darkcamp' on the dark deep web or whatever it's called in onionland and was offering tracks for bitcoin. Maybe that was what we never decoded from that page.

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That's true Mike, I didn't think about the parallel to payroll. It being a new development, there are bound to be bigger headaches, though. I guess it's the best of a bad situation.

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What the hell are they playing at? How are they going to enforce VAT collection on residents of the world outside the EU?

 

Well, watch the EU go dark in a hurry.

 

I ain't paying shit. They can go fuck themselves.

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Can't say I'm surprised considering how much this affects their business model, but fucking good on them anyways. This has been a bit of a nightmare.

 

I don't quite understand how they are going to file "my" taxes for me as they dont have my personal info and social security number, but I assume that they're adjusting their model slightly so that they become a non-automated third party and assume tax responsibilities in that sense.

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I'd think that paypal or equivalent could help with stuff like this. Only thing they have to do is to track payments which came from a bandcamp page and the country which is associated to the credit-card. Aggregate the info periodically, per country, and send it back to bandcamp. The aggregated date is anonymous so shouldn't be a big deal from a legal/privacy point of view. Shouldn't be such a hassle, right?

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So they're going to be filing taxes for both sellers and customers? That's pretty decent.

 

The potential (extra) paperwork was the worst news imo, if I had to do all that bs myself, with my 1 or 2 sales per year, I might have quit

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  • 2 weeks later...

Is there any more recent news about this besides Bandcamp posting vaguely "We will take care of all of that for you." Like technical details, or more steps that sellers have to take etc.

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