Shopping at a trusted e-commerce site is one of the tasks we do regularly, whether we want to buy a pair of shoes, when we need to buy a new television for the living room or when we simply feel like reading a book that we can't get in a local shop. The new VAT rules, which came into effect on 1 July, have changed the scenario to make things even easier for us.
The new Royal Decree Law aims to comply with the new European Union directives on concepts such as “the prevention of money laundering, credit institutions, telecommunications, tax measures, prevention and repair of environmental damage, displacement of workers in the provision of transnational services and consumer protection”.
In this article we want to show you how the new VAT affects you cryptocurrency data as a consumer, so that you can organize all your purchases and achieve a good level of savings, while finding the best deals and following a series of tips to make all your payments with total security .
How has VAT changed for online purchases ?
As you may know, VAT or Value Added Tax is an indirect tax levied on the final domestic consumption of products and services produced both in the national territory and abroad. The peculiarity is that it is not applied directly to the income of taxpayers (as is the case with personal income tax) , but is collected when the purchase and sale transaction of products and services takes place.
It is important to understand this concept, because the new VAT for online payments has established a new legal model, which moves from a system of taxation at source to a model of taxation at destination. What this means is that it is no longer the consumer who is subject to paying the tax, but rather the Member States that collect the VAT that their national consumers will pay when they purchase goods and services, regardless of where the supplier is.
In order to make the changes and the new one-stop shop systems (which means centralising the VAT corresponding to all community sales in a single declaration, without having to declare them in each country) a series of regulations that are already in force will be used, such as the VAT regime for services provided electronically; the extension of the one-stop shop systems and the reform of the community regime for distance sales.