Gservo
8th May 2002, 03:44 AM
In a bid to help European online sales, the EU is planning to tax online transactions. The article (http://story.news.yahoo.com/news?tmpl=story&u=/ap/20020507/ap_wo_en_bu/eu_digital_tax_3) on Yahoo, says that the taxes will apply only to products downloaded from the internet, such as software,videos and music. They may elect to tax physical items (books, hardware,etc) at a later date. American companies will be forced to charge European customers the appropriate VAT in their home country. No details on how this will be enforced."