eBay Launches VAT Grassroots Campaign in Europe
eBay through its eBay Main Street Government Relations Team has launched a pan-European petition to give sellers a voice in the discussion on change in the EU VAT (Value Added Tax) system.
- Do you need a business bank account for your online business? Have a look at our review of the five best bank accounts for sellers, some of which are free with no minimum balance or deposits.
- AI can change your entire social media game today. Learn how you can save time writing engaging content faster. [sponsored]
- How to lower your taxable income and pay less in taxes. [sponsored]
- ‘My Community Made’ is a new marketplace to compete with Etsy and Amazon Handmade.
- EXCLUSIVE: Interview with Chris Prill, VP eBay Motors, discussing the new Guaranteed Fit program.
EU leaders are discussing changing the existing EU VAT system to could have a significant impact on the small businesses and consumers in Europe.
- New taxes on cross-border sales: European small businesses who currently do not have to charge VAT in their home country would be forced to charge it for sales to other EU countries even if they are selling as little as €10,000 across all of Europe. These proposals would disproportionately hit the smallest micro enterprises and artisans, many of them in the most remote parts of Europe, who depend on online marketplaces like eBay to reach new markets to grow their business.
- Higher prices for consumers: In addition to these new sales taxes on EU sales, low value imports from outside the EU would now be subject to VAT. This will hurt European consumers at a time when their household budgets are already being squeezed.
- Less cross-border trade within Europe and less choice for consumers: Far from expanding the Digital Single Market, many small businesses may simply choose to export less, undermining Internet-enabled economic growth.
- More red tape for European small businesses: Small businesses with pan-European sales of as little as €10,000 will face new VAT rules, many for the first time. VAT is already confusing enough for small businesses. Let’s not make it harder.
The eBay Government Relations team and members of the eBay Small Business Ambassador Network will formally present the petition to European leaders.
You can sign the petition digitally here.
The full text of the petition is as follows:
We, the undersigned, demand that the EU think again on its VAT reforms and take the following actions to protect European small businesses and consumers:
Stop new taxes on EU sales and support European small businesses – by supporting higher and harmonised distance sales VAT thresholds.
Keep prices lower – by maintaining the current rules for low value imports from outside the EU.
Cut red tape – by introducing an EU-wide database which small businesses can use to easily work out the correct VAT rate for individual products in each country.
If you are in the EU, this is your chance to have your voice heard with the help of eBay. We also like to hear your thoughts on VAT in Europe. Please use the comments section below.
Connect with us: Head over to our Facebook Group for Small Business Sellers and interact with other small business owners.
Follow us on Facebook, Twitter, or LinkedIn to stay up to date with relevant news and business insights for your online business.
Subscribe to Our Newsletter
Business Insights for Your Online Business Presented with a Dash of Humor
We do not share your information and you can unsubscribe anytime.
Richard is co-founder of eSeller365. He has over 17 years of experience on eBay which includes tens of thousands of sales to buyers in over 100 countries and even has experience with eBay’s VeRO program enforcing intellectual property rights for a former employer. And for about two years Richard sold products on Amazon using Amazon FBA in the US.
To “relax” from the daily business grind, for a few weekends a year, he also works for IMSA as a professional race official.