Sweden Applications hit by extra VAT |
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3 October 2011 Developers in Sweden of applications for iPhones, tablets and other smart phone devices are facing a new VAT charge following the implementation of new rules. Click here to read about European VAT compliance rules Generally, it is only the online retailer in Europe who is liable to charge and collect VAT - so Apple or Amazon for instance. However, the Swedish Tax Agency is holding the position that it is the application developer, instead. This means double VAT - at 25% in Sweden's current standard rate. This comes despite appeals from the industry to suspend this interpretation until the European Commission can rule on the situation. |
