I am developing a site for a client that is planning to sell an audiobook through his websoye. He is not ready to go the Audible/iTunes route just yet and just wants to have the download available from hos own site.
I know lots of people use Paddle, but, without signing up, I’m not sure how it handles VAT MOSS when selling to EU countries. I know @willwood sings the praises of Paddle and I myself have bought stacks from him (and others) via paddle.
As I understand the laws here in the UK, any business selling digital downloads to an EU country, has to:
First register for VAT with HMRC (even if they haven’t hit the turnover threshold)
Then register for VAT MOSS
From there I unbderstand that VAT returns have to be submitted to HMRC for each EU country you sell into and they will take care of the tax owed in each of these conutries. Sounds like a giant pain in the neck!
What I don’t understand is if something like paddle takes away this pain? Do I still need to do the VAT returns or is the tax taken care of in the payment process? Also, are prices automatically displayed in local currency according to wher the customer is downloading from. I know I see prices in GBP when, say I buy from Will but I wasn’t sure if that would change if I were resident in say, Spain or France?
Also what happens if a sale is made outside the EU, say, in the US? Is local tax added automatically?
Sorry for the newbie questions but I haven’t used a system like this before.
Many thanks in advance