Forum Moderators: skibum
Following the thread "Is here any Portuguese members? can we exchange some info about PT?" - see
[webmasterworld.com...] ,
I asked some questions to some Affiliate Networks.
For anybody that this could be helpfull, here are the transcription of the answers that I received from 2 of them:
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AffNet1:
"...Vat stands for Value Added Tax, it is a tax that europeans must pay, including people in Portugal, so it must just be called differently over there. These taxes need to be paid by European consumers purchasing any goods, electronic or physical, when the product is electronic, vat is payable when the order is placed, when physical, vat is payable upon receipt of the goods. So for electronic products, we collect vat and pay it to the European applicable entity. Businesses in europe with a valid Vat ID are excempt from this tax, so if they provide us with a valid ID, we do not charge vat. Regardless, this entire service is provided to you at no cost, you do not need to worry about it..."
"...Vat ID can be obtained by a business in Europe so that the business pays Vat directly to the authorities rather than pay it with each purchase they make. Obtaining a Vat ID may differ depanding on the authorities local to the country of the business..."
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AffNet2:
"...Thank you for your e-mail. As you sign up as a private person and you probably do not have a VAT ID you should select option "1) No tax/VAT charged to customers". The other settings are set up with companies in mind that are allowed to charge VAT by themselves and transfer it to the tax authorities. As a private person this does not concern you. Please note that a VAT ID is not you private tax number issued by local tax authorities..."
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Best regards
PSAZF
(Portugal)
I think you're confused, what you have there is what we alreday knew. If I buy something within the EU I have to pay VAT. If I buy from the UK I pay Uk's VAT if I buy from Portugal I pay Portugal's VAT.
Now, what you want to know is if you pay any taxes from the money you receive from affiliate programs. Right?
In that case my doubt is only if you have to pay taxes from money you receive from outside the EU. If it comes from an EU country you'll have to pay IRS.