Google adwords

Are non EU companies/persons paying vat?

[Kebab]

Do advertisers from a non Eu country have to pay vat to google? If yes why dont they start a company in the EU then?

[inbound]

It is the responsibility of any EU company to declare such purchases as liable for local VAT. Just because Google does not charge VAT does not mean it is not due, heavy fines and possible imprisonment await those convicted of tax evasion.

[Kebab]

Imprisonment :) For what? I dont think I was clear enough. When I bought adwords from google as a privatperson I had to pay vat on my bill. So for 1000 dollars I only got like 900 something to my google account. Since I registerd a company in my country (EU) google dont put on vat anymore.
So my question is, are google not putting on vat to companies outside the EU or only to EU companies?

[inbound]

If you are from Sweden (as I think you are) then you will be liable to declare purchases from Google (Ireland) on your domestic VAT return (or equivalent).

Sweden joined the EU in 1995 as far as I can remember and hence adopted a common approach to tax issues.

I was strong on my last post to make sure people looked up their laws, it's only sensible to do so.

I would suggest checking your local laws to make sure that you are not caught out. As a business person you are responsible for making sure you comply, you can't just say you didn't know.

[inbound]

To answer your question (sorry):

Google put on VAT for companies outside the EU in most circumstances. There are still occasions when they dont but there are treaties in place that mean that all such incidents are reported to tax authorities (whether they act or not is another matter)

[Kebab]

Okey, thanks for the answer. (Even thoug you made me feel like a criminal for some reason :))

[Manga]

Do advertisers from a non Eu country have to pay vat to google? If yes why dont they start a company in the EU then?

No, companies not in the EU do not pay VAT. VAT is only for EU companies. My company is in Canada and I have never paid VAT to Google, nor has anybody else I know who is located in Canada or the US. Hope this helps.

[Kebab]

Thanks.
But I´m in the Eu and I dont pay VAT either... So no company at all is paying VAT or what?