I presume the European rule that no VAT is to be charged to customers
outside Europe has to do with being competitive. The Australian registrars
apparently do not need to be competitive :-)

--
*-------------------------------------* 
 Marc Schneiders (more in the header)
*-------------------------------------*

On Sun, 17 Sep 2000, Patrick Corliss wrote:

> Hi Marc
> 
> Australia has just introduced a 10% Goods & Services Tax ("GST") on the
> lines of the VAT.  We have two main registrars - one for .com.au and the
> other for .net.au.  Both used to charge $125 Australian for a 2-year
> registration.
> 
> With the GST the new price should be $137.50.
> 
> The .net.au registrar charges that price to everybody.  Probably including
> those outside Australia.  The .com.au registrar charges a flat $140.  You
> have to pay whhether you're in or out of Australia.
> 
> Seems like a rip-off to me.
> 
> Regards
> Patrick Corliss
> 
> 
> ----- Original Message -----
> From: Marc Schneiders <[EMAIL PROTECTED]>
> To: <[EMAIL PROTECTED]>
> Cc: <[EMAIL PROTECTED]>
> Sent: Sunday, September 17, 2000 5:14 AM
> Subject: Re: Domain Name - Taxes
> 
> 
> > On Sat, 16 Sep 2000 [EMAIL PROTECTED] wrote:
> >
> > > Discuss List:
> > >
> > > I seem to be the only one surprised or concerned about the
> > > taxes (17.5%) on the .uk domain names.  My understanding
> > > (and I'm sure I'll be chastised if I'm wrong)   :)  is that anyone
> > > selling a .uk domain name will be taxed on the sale (the cost of
> > > which is passed on to the buyer) and the new owner of the
> > > name is taxed on everything he sells on his website.
> >
> > Not necessarily. I assume you are outside the EU? Then you should be able
> > to get the domains without paying VAT. And sell them to anyone outside the
> > EU without levying VAT as well.
> >
> > As to selling to someone inside the EU, yes, well, this is rather
> > confusing to me. It seems the EU thinks you should collect VAT :-) But
> > anyway, how are they going to determine (not to mention enforce) how much
> > VAT you should have levied? This is impossible to monitor. What will
> > happen is that a company inside the EU will have to pay the VAT themselves
> > to the tax office for all goods (including a domain bought from you) that
> > are acquired outside the EU. This sounds harsh, it is not, for this VAT
> > can then again be deducted from the VAT that has to be levied on the
> > company's own sales. It is mostly an administrative burden. This has been
> > the case for years and years for all (not just internet) sales in the EU.
> >
> > It is much more trouble for those resellers that are *in* the EU...
> >
> > If you do not believe me, register a domain through either joker.com or
> > gandi.net. You will notice that, if you are outside the EU you do not pay
> > VAT.
> >
> > --
> > *-------------------------------------*
> >  Marc Schneiders (more in the header)
> > *-------------------------------------*
> >
> 

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