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Why do I have to pay Value Added Tax?

If you are a resident of any country within the European Union (EU), you are required to pay Value Added Tax (VAT) in accordance with European Union Directive 77/388/EEC. This directive requires that companies located outside of the EU, who provide electronic goods and eServices to private consumers residing in the EU, remit VAT taxes to the EU member states in which the customers are residents. The VAT is calculated at the applicable rate of the country in which the customer is a resident. Only business-to-consumer sales are taxable.

Business-to-business sales may be exempt from the Value Added Tax if the business making the purchase has a current and valid VAT ID number.

For more information about how to add a VAT ID to your account, see Adding and Updating Payment Methods to Include a Value Added Tax ID.

For more information on Value Added Tax, see the Taxation and Customs Union page of the European Commission Website.

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