What is MOSS?

MOSS stands for ” Mini One Stop Shop”

Is the governments attempt to help small business cope with the new regulations.

The new “Value Added Tax rules for digital downloads starts on the 1st January 2015 and effects many small businesses. We located a short video which helps the small business owner try to understand what is required from the 1st of January 2015.

More information can be obtained from HMRC What is more worrying for the small business owner is the amount of addition information that must be collected and stored securely, sometime without the customers permission. This will demand additional staff and more software just to make a small sale outside the UK. Digital sales to Europe are expected to fall over the next few months. Current “Terms and Conditions” must be modified to meet the new requirements.

The EU VAT rate will be set by the customer’s European location, and must be charged even if you are not VAT registered. For example, if you sell digital Apps to Sweden, you will have to charge the Swedish VAT rate on the sale. Finding all the different rates each country and keeping them up to date will take additional effort. Recording and storing of location information, banking and digital access will be required. This will need to meet the Data Protection laws additional information Government information on Data Protection

Digital Downloads

There will be a lot of new information produced by any number of companies and departments, the business owner must take the time to keep up to date, “I did not know, is no excuse” When suitable additional information is located we will publish it here on the Blog. Good luck with the new rules.

Check with your legal advisor as soon as possible if you sell or supply any type of digital downloads, music, Apps, e-books, software, Newsletters, PDF files, etc. to Europe. This affects not just the UK but all countries in the European Union.

Welcome to the brave new world of 2016.