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Figuring VAT on video sales (and electronic script sales.)

10 years, 5 months ago - Vasco de Sousa

Hello fellow shooters.

So, We've heard there are changes to the VAT regime starting January.

Well, this is where it kind of sucks. Companies like Vimeo don't charge VAT for you. Most online delivery companies are based outside of the EU, so they don't seem to give a flying monkeys. You just have to find out where your customers came from.

Does anyone know of any UK video on demand company that's easy to use which allows you to automatically charge the correct VAT (like Vimeo on Demand with different prices)? If not, at least some EU company that speaks English, French, Dutch, or maybe even Portuguese?

Has anyone else filed VAT returns for films sold online?

It's annoying that they charge VAT for electronic items, I mean, some customers don't even want to give their location (lets say you sell paypal downloads of a script, Paypal won't tell you the customer's location unless you say you'll send a physical copy.)

Right now the numbers aren't terribly huge, so I don't know if its worth hiring an accountant. But, I want to simplify things, to minimize the risk of making errors on my returns. Maybe you know an accountant who deals with this quickly that doesn't cost too much?

If you dealt with charging vat on electronic films/videos, screenplays, or other works of art, supplied to the UK and EU, please let me know what you did.

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10 years, 5 months ago - Marlom Tander

Platform sales may or may not be a problem for you.

The key question is "who deals with the customer payment?".

E.g. you put your film on a platform. 500 copies are sold, the platform takes the money, gives you your share.

From your POV that's a B2B sale - the commercial relationship is you/platform NOT you/end user, and if the platform is outside the EU, and export one at that.

The VAT man will get round to chatting with all such platforms in due course, if they sell into the EU.

OTOH if you bill direct, then you do have to collect the VAT. Ebay would be such an example.

Response from 10 years, 5 months ago - Marlom Tander SHOW

10 years, 5 months ago - Vasco de Sousa

Thank you Marlom. That makes sense.

Response from 10 years, 5 months ago - Vasco de Sousa SHOW