So basically outside of the EU you only pay VAT in your own country.
This is true if the countries in subject have a treaty preventing double taxing.If not, you are paying VAT in both countries and customs taxes in both countries.
This basically shows how little experience Jolla has on import & export regulations. The correct formulation should be:
Even Itella (Finnish postal company) doesn't handle that right. You don't pay VAT when you send letters and packages to Jersey based on their price table but when you check your receipt from Itella it has normal VAT.
This true if the countries in subject have a treaty preventing double taxing.If not you are paying VAT in both countries an custom taxes in both countries.
No no no... you are confusing direct (e.g. income and capital) taxes and indirect (e.g. value added and sales) taxes. VAT is never paid twice, it is either paid in the country of origin or country of destination, but never in both countries. Inside EU VAT area when selling to a private person, VAT is paid in the country of origin (in Jolla's case Finland), and when selling to outside of EU VAT area, it is paid in the country of destination.
No no no... you are confusing direct (e.g. income and capital) taxes and indirect (e.g. value added and sales) taxes. VAT is never paid twice, it is either paid in the country of origin or country of destination, but never in both countries. Inside EU VAT area when selling to a private person, VAT is paid in the country of origin (in Jolla's case Finland), and when selling to outside of EU VAT area, it is paid in the country of destination.
This is correct. However outside EU VAT area, the destination country doesn't care at all if the VAT was paid in EU or not, they're always going to charge you with the local tax and it's the consumer's responsibility to ensure that the purchase price did not include VAT of the origin country.
So, for everyone not from Sweden: FDX5195 is in the air again and has probably our packages on board! :3 Next stop (just guessing: France) http://www.flightradar24.com/FDX5195
You can see this if you order from Amazon. They will tax you based on your home VAT percent and then send the VAT payment to your home country.
And compared to outside EU: Amazon will remove the VAT from the sales price and not charge you at all. In your home country your local customs will charge you separately based on the value given on the customs declaration on the package. (Around here this usually involves a mailman refusing to hand over your parcel until you have paid the tax and customs fees in cash at your doorstep... )
International double taxation agreements
It is not unusual for a business or individual who is resident in one country to make a taxable gain (earnings, profits) in another. This person may find that he is obliged by domestic laws to pay tax on that gain locally and pay again in the country in which the gain was made. Since this is inequitable, many nations make bilateral double taxation agreements with each other. In some cases, this requires that tax be paid in the country of residence and be exempt in the country in which it arises. In the remaining cases, the country where the gain arises deducts taxation at source ("withholding tax") and the taxpayer receives a compensating foreign tax credit in the country of residence to reflect the fact that tax has already been paid. To do this, the taxpayer must declare himself (in the foreign country) to be non-resident there. So the second aspect of the agreement is that the two taxation authorities exchange information about such declarations, and so may investigate any anomalies that might indicate tax evasion [1]. While individuals, or natural persons can have only one residence at a time; corporate persons, owning foreign subsidiaries, can be simultaneously resident in multiple countries. Control of unreasonable tax avoidance of corporations becomes more difficult and requires investigation of transfer pricing set for transfer of goods, Intellectual property rights, and services, among its subsidiaries [2].
)
