Fat VAT

This came to me by way of Sony Online Entertainment but frankly it sounds as if this Value Added Tax will apply to any digital services in these portions of Europe.

“To comply with changes in the law in the European Union, Sony Online Entertainment game Subscribers who are residents of EU countries will be charged VAT equal to 17.5% of the subscription fees. These changes require that digital services be taxed at the point of consumption , i.e. in your country of residence. The countries currently covered by this policy are Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, The Netherlands, Portugal, Spain, Sweden, and United Kingdom.” I’ll avoid the usual follow up of EU conspiracy theories and simply say, “Ouch, 17.5%!”