Envato will be collecting country of residence and VAT numbers from Envato Market users in order to meet new legal requirements being introduced from 1 January 2015 to the EU VAT telecommunications, broadcasting and electronic service rules (see official announcement).
How will these changes affect me?
- If you’re an existing user, you’ll see a global announcement banner asking you to confirm/change your country.
- If you select a country within the EU then you’ll have the option to provide a VAT number.
I’m a buyer. What else do I need to know?
- If you provide a valid EU VAT number or confirm that your country of residence is not located in the EU, you will not be charged VAT on Envato Market purchases.
- If you confirm that your country of residence is located in the EU and you don’t provide a VAT number beginning in early 2015, Envato will add VAT based on the rate of your country of residence to the list price of the item(s) when you checkout.
I’m an author. What else do I need to know?
- For EU authors, Envato will manage the EU VAT compliance (i.e. collection, record keeping, invoicing, remittance, and so on) for sales made to non-business buyers through Envato Market.
- Although Envato Market operates as a platform, purely for VAT purposes Envato will be the supplier on record and we’ll be working with our EU team and EU authorities to ensure anything authors are required to do is minimal.
- As always, for advice specific to your tax situation we recommend that you speak to a professional accountant or tax advisor. If you have further questions relating to this announcement, you can email: firstname.lastname@example.org