Spitfire and different currencies

[kimarnesen]

Two reasons why this won't work (unless you have a solution for both) -

1. Your invoice address needs to match your credit card address
2. The downloader will only let you download in the country that you specify

Ben

I see, well that sucks for a few us, and I
guess there’s nothing you can do about it.

Just a few days ago I could have got BDT for $149.00, but yesterday it was $190. 20% more expensive Symphonic Strings is quite a lot when I’ve been waiting for a sale for a long time.

 

[procreative]

Dollar prices assume you are based outside the European Union and VAT is not charged. So $149 is the price without VAT so in the end (if you were VAT registered) it would be the same price almost.

Us EU residents have to pay VAT if we buy from any other EU country and now thanks to the Digital Goods Act also anywhere else too (thanks to the likes of Amazon, Google and Apple squirming out of paying their taxes no doubt).

 

[Øyvind Moe]

I see, well that sucks for a few us, and I
guess there’s nothing you can do about it.

Just a few days ago I could have got BDT for $149.00, but yesterday it was $190. 20% more expensive Symphonic Strings is quite a lot when I’ve been waiting for a sale for a long time.

Digital services from foreign vendors have been subject to VAT in Norway since 2011: https://www.digi.no/artikler/elleve-selskap-klar-for-norsk-e-moms/206379
Vendors are technically required to charge this at checkout, but you are not required to report the VAT yourself if they don't.

BTW, I figured out why my prices had changed to USD: For some reason, my download country had been set to Qatar. Strange, as it must have happened during the last week or so, and I certainly didn't do it myself. Changed back to Norway, and now the prices are in EUR again, including 25% VAT.

 

[kimarnesen]

Digital services from foreign vendors have been subject to VAT in Norway since 2011: https://www.digi.no/artikler/elleve-selskap-klar-for-norsk-e-moms/206379
Vendors are technically required to charge this at checkout, but you are not required to report the VAT yourself if they don't.

BTW, I figured out why my prices had changed to USD: For some reason, my download country had been set to Qatar. Strange, as it must have happened during the last week or so, and I certainly didn't do it myself. Changed back to Norway, and now the prices are in EUR again, including 25% VAT.

Thanks! What was confusing was that it was the currency that had changed but with the same amount ($149 = €149). But once it’s in your chart it is now specified correctly so that makes sense. I didn't realize they are now adding the VAT.

 

[micrologus]

There's something strange. The swiss basic net price in € is more than the net price in € in Italy. Then why not apply the VAT on the $ price? If I live in Switzerland why should I pay in €?

 

[ptram]

Is the original poster located in Louisiana? I heard the POTUS was thinking to sell it back to France, in change of half of it converted to a golf field.

Paolo

 

[Øyvind Moe]

There's something strange. The swiss basic net price in € is more than the net price in € in Italy. Then why not apply the VAT on the $ price? If I live in Switzerland why should I pay in €?

Hi everyone! A few people have hit upon the correct points here in terms of VAT being the reason why certain countries appear to pay "more" than others. OP is probably from Switzerland or Norway because we were recently required to start charging VAT in those countries, hence the price increase. If OP is VAT registered then they should be able to reclaim that from their government. Countries in the EU (apart from UK) can choose not to pay VAT when checking out by entereing their VAT number, UK customers can reclaim the VAT from HMRC if they are VAT registered.

The maths isn't always spot on because:

1. We don't want to keep changing our prices when the exchange rate changes.
2. As with most companies on the planet, we like our prices to end in a 9.
3. Different countries have different rates of VAT.

Ben

It seems like they're setting a fixed VAT-inclusive price in EUR for European countries. So customers that are not VAT registered will be paying the same amount, regardless of which country they're from. If you *are* VAT registered, though, you will technically be paying more or less than others, depending on your country.

 

[fretti]

There's something strange. The swiss basic net price in € is more than the net price in € in Italy.

Not really strange...they want to get to 399€ as the final payment sum for everybody (at least everybody non VAT registered), regardless of what the VAT rate is, so the Net price has to vary given the different VAT amounts in different countries

 

[LamaRose]

Actually, tax collection was never legally ratified in the U.S. and in theory is unconstitutional extortion on the part Big Bro. When you are forced to sign a W-4 form, which is necessary to gain employment, you are basically agreeing to pay said taxes... this is why said form was created. No concern to me though... I'm on pesos, lol.

 

[LamaRose]

VAT is also known as the NATO tax... correct?

 

[RandomComposer]

I'm still not convinced that it's justified to charge 27.5% more to people living in the UK, which goes beyond VAT, currency fluctuations and the need to end the price in '9', but I guess that's just how it is and the British consumer base is probably not big enough for anyone to bother with it.

 

[Mornats]

VAT is also known as the NATO tax... correct?

Brit here. Never heard it called that.

 

[Simon Ravn]

Not in the UK there is isn't.

So in Spain they tax basic foodstuffs !!!!!

That's pretty despicable.

25% VAT on everything here. Why is that despicable? Some people think genrally all taxes are despicable and would rather have a "per use" tax pay on everything (like hospitals). Thankfully that's not the way it is here So I don't mind contributing to the welfare system. Afterall we have pretty high salaries to make up for high living expenses. That's how it works. But that's a very big and different topic. I just reacted to the "there is no VAT on food" part, since I didn't know if you meant in a specific country or what.. just wanted you to make aware that this differs greatly from country to country.

 

[Michael Antrum]

Because it is a regressive tax on the basics required to sustain life. Taxation should be progressive.

Anyway - not going to derail this thread any longer

 

[Musicam]

Without Tax

 

[C.R. Rivera]

Actually, tax collection was never legally ratified in the U.S. and in theory is unconstitutional extortion on the part Big Bro. When you are forced to sign a W-4 form, which is necessary to gain employment, you are basically agreeing to pay said taxes... this is why said form was created. No concern to me though... I'm on pesos, lol.

Here in the states they have not yet set up the "internet" tax for the 40 states that have it enforce it after the recent Supreme Court decision. The other lucky ones DO NOT have a sales tax/VAT equivalent. However, Spitfire et al might explain how they will address this in the future, or, if SFA is even required to collect sales tax for non-EU/EC entities. For me, my family lives in three of those lucky states. I see many possible future gifts from them

 

[procreative]

I think some here misunderstand VAT. Its on everything you buy apart from a very few things like milk, bread, magazines, newspapers. Its just that most consumer orientated retailers never show you the pre VAT price.

On Spitfire's varying prices, mostly thats to do with the different VAT rates in different countries. The EU brought in a law that requires sellers to charge VAT at the rate of the country the buyer is in.

This was a cack-handed attempt to curtail Amazon, Apple etc. They sneakily set up European HQs in places like Ireland and Luxembourg to avoid charging VAT and pay as little tax as possible.

In fact despite many attempts Apple managed to do a deal with Ireland for many years where they paid little to no corporation tax (Amazon have largely done the same in the UK).

We all win or lose in this circus at times. UK users buying from Europe lose on the Euro rate, Canadians lose when buying from the US, Europeans lose when buying from the UK etc, etc.

Remember anyone VAT registered is not getting it at a "reduced price" as in the end they have to charge VAT on their work (which might make them more expensive to a non-registered client, than a freelancer). Anyone VAT registered is effectively an unpaid tax collector.

 

[thesteelydane]

So tell me, how much VAT is there on a tomato ?

In Denmark 25 %.

Edit: Oh, I see Simon already adressed this. Sorry!

 

[Fry777]

On Spitfire's varying prices, mostly thats to do with the different VAT rates in different countries. The EU brought in a law that requires sellers to charge VAT at the rate of the country the buyer is in.

Exactly. But OP's country VAT rate (and mine) are differing from what Spitfire is quoting, which is the point of this thread I think

 

[procreative]

Exactly. But OP's country VAT rate (and mine) are differing from what Spitfire is quoting, which is the point of this thread I think

Ah I see, perhaps you should contact them. Some websites use geolocators to determine visitors by IP address, which is not a perfect method as if you have an ISP with non-local servers it can eroniously indicate your location?

Or maybe they have the wrong rates in the store, or are implementing it incorrectly?