On January 1, 2015, new rules regulating the determination and payment of VAT became active in the countries of the European Union. VAT rates for B2C companies no longer depend on the company’s registered location but on the location of the user. This means that the tax rate paid by a company for one and the same product will now vary for players from the various countries of the European Union. You can read information on VAT rates on the European Union’s website, at the following address: http://ec.europa.eu/taxation_customs/tic/public/vatRates/vatratesSearch.html
These adjustments, enacted by Directive 2006/112 / EC, are designed to establish fair and equal taxation for foreign and European citizens and honest competition among companies fighting for European users. The VAT payment requirements apply to all companies selling electronic goods or services. Even if only one resident of the European Union has transferred funds to a company’s account for a virtual item, the company is responsible to correctly determine and pay VAT for that purchase.
The Directive describes in more detail which products are considered electronic goods and services. This document may be accessed at: http://eurlex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2011:077:0001:0022:EN:PDF
The cost for buying virtual currency in our games is displayed without VAT, and the end user’s cost may differ depending on the country he or she is located in.