Ignoring U.S. objections, European Union finance ministers Tuesday approved new rules for taxing Internet purchases of software, music and other "virtual goods" from non-EU companies.
Under the new law, European companies will pay only their home country's VAT. Non-EU companies will have to charge customers the rate where the customer lives, ranging from 15 percent in Luxembourg to 25 percent in Sweden.
So how are they going to actually inforce this? What can they really do if a Non-EU company decides not to do this?