EEVblog Electronics Community Forum
General => General Technical Chat => Topic started by: tszaboo on December 21, 2016, 08:49:22 pm
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OK, so this year again, I decided to send a donation to Dave. Since Dave is telling us that he prefers Patreon, I checked it, maybe I should send it with that. I'm not going to.
Starting in 2015, the European Union changed regulations for how VAT is calculated on sales of digital services. It is now determined by the location of the consumer, not the location of the business. Unfortunately, this also applies to independent content creators like the ones on Patreon.
Are you fucking kidding me? * I'm sending a donation, and EU decided to add tax to it. So Patreon automatically adds VAT to my donation, and I'm supposed to send 21% of the donation to the big money hole.
https://patreon.zendesk.com/hc/en-us/articles/205259549-How-does-VAT-work-on-Patreon- (https://patreon.zendesk.com/hc/en-us/articles/205259549-How-does-VAT-work-on-Patreon-)
I know, in some country, when you send a donation, you deduct it from tax. Not here, here you get a middle finger.
I know, for reasons you prefer Patreon. I just wanted to share this, because I have not seen any discussion about it on the forum. But by the looks of it, Patreon is technically payment for digital service, not a donation, so tax is being payed.
* mod: mad at EU not Dave obviously.
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Not wanting to pay more tax then is required by law is perfectly rational. Dave will have to pay tax on the money he receives too. Why don't you slip $100 into a christmas card and post that to him. Better make it US$ >:D .
Or just use paypal, which doesn not add tax.
I'm kinda harsh, when it comes to any additional taxing. The tax bracket I'm in is already the 50% (yes, you read it right).Especially, I'm sending the holidays home, where income tax is lower, but vat is higher. So Patreon decided to add actually 27% to it. Because my IP adress, or whatever. World's worst income tax added with worst VAT, thank you very much.
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Use PP for once off donations, it works better, and one less middleman. Or set up a recurring PP donation, it also works well, and runs right on scedule, plus you have control of it. While PP takes thier vig, you only have one cost, and Dave gets more of it.
Patreon however does have an advantage with multiple deductions coming off as a single transaction on your PP or bank account, so there you get some advantage.
I have both in operation, and by far the best is using PP, less hassles in operation, and a simpler site to use as well.
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...the European Union..
Say no more. Vote BelgExit. :-DD
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One word: scam,
you cannot put "VAT" on money transfers, you can only charge insane amounts of transfer/broker fees....
EDIT: you can charge "VAT" only for buyer who is buying services/products...
Thus in this case, NANDBlog is not a buyer and not buying any items/services, he is just making a damn money transfer.
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...the European Union..
Say no more. Vote BelgExit. :-DD
US isn't better. Postage is absolutely murder over here, so sending 100 dollar bills would probably cost more than the tax, and have a 25% chance of being lost in the post. Once got a parcel from family in Germany, was absolutely thrashed, it probably would have looked better if it was floated over here.